A strata corporation in Calgary is planning its annual budget. The strata has 50 units, and the projected annual operating expenses are $150,000. The strata council also wants to contribute $50,000 annually to the reserve fund for future major repairs. If all units pay equal strata fees, what is the monthly strata fee per unit?

Question: A strata corporation in Calgary is planning its annual budget. The strata has 50 units, and the projected annual operating expenses are $150,000. The strata council also wants to contribute $50,000 annually to the reserve fund for future major repairs. If all units pay equal strata fees, what is the monthly strata fee per unit?

Answer options:

• $250.00
• $300.00 ✅ $333.33
• $400.00

Correct answer: $333.33

Explanation: Total annual costs = Operating Expenses + Reserve Fund Contribution = $150,000 + $50,000 = $200,000. Total monthly costs = $200,000 / 12 = $16,666.67. Monthly strata fee per unit = $16,666.67 / 50 units = $333.33.