Given the following information, calculate the operating expense ratio for this property. Potential gross income: $120,000, Vacancy rate: 9%, Net operating income: $57,900, Operating expenses: $51,300.

Question

Quizplus · Accepted Answer

Operating expense ratio = Operating expenses / Potential gross income

= $51,300 / ($120,000 x 91%)

= $51,300 / $109,200

= 0.469

= 47%

Therefore, the operating expense ratio for this property is 47%.

Given the Following Information, Calculate the Operating Expense Ratio for This