5. Given the following owner's income and expense estimates for an apartment property, formulate a reconstructed operat- ing statement. The building consists of 10 units that could rent for $550 per month each. Owner's Income Statement $60,000 Rental income (last year) Less: Operating & Capital Expenses Power Heat Janitor Water Maintenance Capital Expenditures Management Depreciation (tax) Mortgage payments $ 2,200 1,700 4,600 3,700 4,800 2,800 3,000 5,000 6,300 Estimating vacancy and collection losses at 5 percent of potential gross income, reconstruct the operating state- ment to obtain an estimate of NOI. Assume an above-line treatment of CAPX. Remember, there may be items in the owner's statement that should not be included in the recon- structed operating statement. Using the NOI and an R, of 11.0 percent, calculate the property's indicated market value. Round your final answer to the nearest $1,000