Gross income $60,000, expenses $22,000. NOI:
Correct Answer
B) $38,000
NOI = $60,000 - $22,000 = $38,000. Debt service is not included in operating expenses.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
Net operating income (NOI) is the annual income generated by an income-producing property after deducting operating expenses, but before deducting mortgage payments, income taxes, and depreciation.
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.
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