Final answer:
To calculate the property manager's fee for July, subtract the operating expenses from the potential gross monthly rent to find the net rental income. Then, subtract the unpaid rent from the net rental income to get the final rental income. Finally, multiply the final rental income by the commission rate to find the manager's fee.
Step-by-step explanation:
To calculate the property manager's fee for July, we need to find the rental income for the month. First, we subtract the operating expenses of $3,500 from the potential gross monthly rent of $5,380 to find the net rental income. Net rental income = Potential gross monthly rent - Operating expenses = $5,380 - $3,500 = $1,880.
Next, we subtract the unpaid rent of $625 from the net rental income to find the final rental income. Final rental income = Net rental income - Unpaid rent = $1,880 - $625 = $1,255.
Finally, we calculate the manager's fee by multiplying the final rental income by the commission rate of 6%. Manager's fee = Final rental income x Commission rate = $1,255 x 0.06 = $75.3. Rounding to the nearest dollar, the manager's fee for July is $75.