The following relate to an operating lease agreement for Ava Company the lessor: 1. The lease term is 7 years, beginning January 1, 2018. 2. The leased asset cost the lessor $276,600 and had a useful life of fifteen years with no residual value. The lessor uses straight-line depreciation for its depreciable assets. 3. Annual lease payments at the beginning of each year were $30,480. 4. Incremental costs of negotiating costs of negotiating and consummating the completed lease transaction incurred by the lessor were $5,060 What is the net income Ava will recognize the 1st year of these lease