Question: In developing a capitalization rate from the market, Comparable Sale 1 sold for $110,000 and had an NOI of $7,000; Sale 2 sold for $120,000

In developing a capitalization rate from the market, Comparable Sale 1 sold for $110,000 and had an NOI of $7,000; Sale 2 sold for $120,000 and had an NOI of $8,500; and Sale 3 sold for $105,000 and had an NOI of $6,800. What is the AVERAGE of the three indicated rates?

A. 0.0664

B. 0.0635

C. 0.0659

D. 0.0671

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