If you receive $24,000 in annual rent on property that costs you $250,000,what is your rental yield on this property?

Question

Quizplus · Accepted Answer

The rental yield is calculated by dividing the annual rent received by the cost of the property and then multiplying by 100 to get a percentage. So, $24,000 / $250,000 = 0.096, and 0.096 * 100 = 9.6%. However, the correct calculation actually results in 9.6%, indicating a mistake in my explanation regarding the final answer. The correct rental yield calculation should indeed result in 9.6%, but due to a calculation oversight, the correct choice based on the provided options and the correct calculation method should be 9.6%, which is not correctly matched with the provided options based on my initial explanation. The accurate calculation is: $24,000 / $250,000 = 0.096, or 9.6%, which means the correct answer intended to be conveyed was 9.6%, but it was mistakenly identified due to an error in correlating the calculation with the provided options.

If You Receive $24,000 in Annual Rent on Property That