Denbow Corporation reported a deferred tax liability of \(\$ 37800\) in its balance sheet dated December 31, 20X1. Denbow's only temporary difference resulted from its use of the equity method to report its 25 percent investment in Crabapple Industries, acquired at underlying book value on December 31, 20X0. During 20X1, Denbow received a dividend of \(\$ 25,000\) from Crabapple, the first dividend ever paid by the company. The dividend qualified for the 80 percent dividend deduction. Denbow's effective tax rate is 45 percent.

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Compute Crabapple's net income for 20X1.