The APOD itemizes the Operating Expenses. The investor/purchaser may want to buy an existing property or build a new structure. Operating expenses may be based on historical data found in the market or data from previous years' budgets. Use the following assumptions and calculate the Operating Expenses for an apartment complex:

Year One Operating Expenses are $350,000

Expenses increase in Years Two, Three, and Four by 2%

Expenses increase in Year Five by 3%

		Expenses: Year 1 $350,000 Year 2 $357,000 Year 3 $364,140 Year 4 $371,422 Year 5 $383,565
		Expenses: Year 1 $350,000 Year 2 $357,000 Year 3 $364,140 Year 4 $371,422 Year 5 $378,850
		Expenses: Year 1 $350,000 Year 2 $357,000 Year 3 $364,140 Year 4 $371,422 Year 5 $400,000
		Expenses: Year 1 $350,000 Year 2 $350,000 Year 3 $350,000 Year 4 $350,000 Year 5 $350,000