Arizona Low Voltage Contractor Practice Exam

If a property has a net operating income of $50,000 and a capitalization rate of 5%, what is the indicated value?

$1,000,000 $500,000 $2,500,000 $250,000

$1,000,000

Value = Net Operating Income / Capitalization Rate. $50,000 / 0.05 = $1,000,000.

Access more questions from this quiz

Continue to Arizona Low Voltage Contractor Practice Exam for more practice questions and the full quiz experience.