Given the following information, calculate the effective gross income multiplier. Sale price: $2,500,000; Effective Gross Income: $340,000; Operating Expenses: $100,000; Capital Expenditures: $36,000.
A) 0.136
B) 7.35
C) 10.42
D) 12.25

Question

Quizplus · Accepted Answer

The Effective Gross Income Multiplier (EGIM) is calculated by dividing the sale price by the effective gross income. So, $2,500,000 / $340,000 = 7.35.

Given the Following Information, Calculate the Effective Gross Income Multiplier