In Calculating the Net Operating Income (NOI) of a Property

question 22

Multiple Choice

In calculating the net operating income (NOI) of a property, the "above-line" treatment of capital expenditures implies:

• A) capital expenditures are excluded from the calculation of NOI.
• B) capital expenditures are included in the calculation of NOI.
• C) capital expenditures are set equal to NOI.
• D) capital expenditures are divided by NOI.

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