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A retail property valued at $710,000 earns $4,650 per month. What is the annual percent of return?

1 Answer

2 votes

Answer:

7.9%

Step-by-step explanation:

The rate of return is the ratio of return to the amount invested.

Since the property earns $4,650 per month,

Therefore;

$4,650 × 12 = $55,800

To get the annual rate of return,

= Monthly returns on property/Value of profit×100%

= $55,800/$710,000

=7.9%

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