The management of a rental building faces a rent control situation,where it cannot charge more than $400 a month in rent on the apartment.The management knows that the apartments are high in demand and renters would be willing to be $1000 per month for them.The management will
A)Do nothing-it cannot violate the regulation
B)Offer a bundle of both the apartment and furniture together for $1000
C)Offer the controlled rent but force the tenants to rent furniture from the management
D)Both B&C

Question

​The management of a rental building faces a rent control situation,where it cannot charge more than $400 a month in rent on the apartment.The management knows that the apartments are high in demand and renters would be willing to be $1000 per month for them.The management will
A)​Do nothing-it cannot violate the regulation
B)Offer a bundle of both the apartment and furniture together for $1000
C)Offer the controlled rent but force the tenants to rent furniture from the management
D)​Both B&C

Quizplus · Accepted Answer

Both options B and C are strategies that the management might use to circumvent the rent control regulation, allowing them to effectively charge more than the $400 limit by bundling the apartment with furniture or requiring tenants to rent furniture.

​The Management of a Rental Building Faces a Rent Control

The Management of a Rental Building Faces a Rent Control