Blithe Company purchased 60 percent of the stock of Spirit Company for \(\$ 100,000\) on January 1, 20X6, when Spirit reported \(\$ 120,000\) of common stock outstanding and retained earnings of \(\$ 25,000\). On December 31, 20X8. Blithe reported its investment in Spirit at \(\$ 126,100\) using equitymethod accounting for its investment. Blithe received dividends from Spirit totaling \(\$ 15,000\) over the three-year period. The purchase differential is amortized over 10 years.

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Determine the amount of net income reported by Spirit Company over the three-year period.