David, a single individual, with a marginal tax rate of 35% and a Regular LT Capital Gain tax rate of 15%, owns a warehouse that is used in his sole proprietorship. He purchased the warehouse several years ago for $150,000, and has claimed $20,000 of MACRS-SL depreciation on the warehouse through 2021. In October 2021, he sold the warehouse for $200,000. Assuming that this is Davids only Sec 1231 or capital transaction for the year, and he has NO non-recaptured Sec 1231 losses from prior years, compute Davids additional tax due as a result of this sale.

Group of answer choices

24,500

10,500

12,500

17,500