Practice & MathQuestion 100 of 100
A property manager prepares an operating budget mainly to:
a.Set the sale price of the building
b.Calculate the owner's income taxes
c.Project income and expenses to guide financial decisions
d.Determine the mortgage interest rate
Explanation
An operating budget forecasts the property's expected income and expenses, helping the manager plan for maintenance, reserves, and cash flow. It is a key financial management tool. Comparing actual results to the budget reveals how the property is performing.
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