NOI DS Cash flow Resale in year 3 Less mortgage balance Total cash flow Year 1 Year 2 Year 3 $72,000 $74,880 $77,875 60,000 60,000 60,000 $12,000 $14,880 $17,875 900,000 -435,000 $12,000 $14,880 $482,875 Present value of cash flow @ 15% $10,435 $11,251 $317,498 20. Consider the table above for a hypothetical income property that is under consideration for purchase with a $455,000 loan. Using the principles of mortgage equity capitalization, what is the estimated total property value (rounded to the nearest $100)? (A) $317,500 (B) $482,900 (C) $772,500 (D) $794,200