8. Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Balance Sheet (in thousands) Rate Earned ( % ) Assets Cash and due from banks $6,000 $22,000 C Investment securities $12,000 6 Repurchase agreements $80,000 10 Loans less allowance for losses $10,000 $4,000 $134,000 0 Fixed assets Other earning assets Total assets Rate Paid ( % ) Liabilities and Equities $9,000 Demand deposits $69,000 5 NOW accounts $18,000 7 Retail CDs $14,000 8 Subordinated debentures $110,000 Total Liabilities $10,000 Common stock $3,000 Paid-in capital surplus $11,000 Retained earnings $134,000 Total liabilities and equity If the bank earns $120,000 in noninterest income, incurs $80,000 in noninterest expenses, and pays $2,500,000 in taxes, what is its net income