A lot costs $300,000. It is 100 feet wide and 150 feet deep. How much is the price per square foot?
Correct Answer
D) $20 per square foot
Area = 100 × 150 = 15,000 sq ft. Price per sq ft = $300,000 ÷ 15,000 = $20
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Related Topics & Key Terms
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Net Operating Income (NOI) is the revenue a property generates after deducting all operating expenses.
Converting a percentage to a decimal involves dividing the percentage value by 100.
In real estate, property value can be estimated by dividing the Net Operating Income (NOI) by the Capitalization Rate (Cap Rate).
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