For the year just ended, Fellups, Inc., had income before income taxes of $275,000 from its normal, recurring operations. In addition, during the year, a tornado damaged one of the company's warehouses and its contents. Tornado damage is quite rare in Fellups's location. The estimated amount of the loss from the tornado is $100,000. The tax rate on all of the above is 40 percent. Prepare the final section of Fellups's income statement, beginning with income before income taxes.