In the first year of operations, NOI (analyst) is $600,000, CAPEX is $0, interest expense on an interest only mortgage is $400,000, depreciation expense is $350,000 and the marginal income tax (on ordinary income) is 40%. (Note: if taxable income < 0, pay $0 taxes and carryforward loss to next year). Furthermore, if something is not mentioned, assume it equals $0.

A. What is the loss carry forward (to use in the next year)?

If you don't have a loss carry forward, enter a 0. If you do have a loss carry forward, enter as a positive #.

B. What is the ATCF from operations in year 1?