You are considering the purchase of a small apartment complex, The purchase price, including acquisition costs, is $600,000. Gross potential income in the first year is estimated at $75,000 and vacancy and collection losses are estimated to be 10 percent of gross potential income. Operating expenses and capital expenditures are expected to be $16,000 and $1,000, respectively, in year 1. The investor will obtain a $400,000 loan at 6 percent annual interest with annual payments for 25 years. Additional upfront financing expenses will equal $15,000. Assume that 25 percent of the purchase price is payment for land and that the building will be depreciated over 274 years using straight-line depreciation. There is no personal property. Your ordinary and capital gain tax rates are 35 and 15 percent, respectively. Estimate the after-tax cash flow from the first year of operations (rounded to $Hundreds). Excel a) $17.900 b) $19,200 c) $16,200