A company's activities for Year 2 included the following:

Unrealized gain on available for sale debt securities	9,600
Cost of goods sold	1,400,000
Prior service cost adjustment for defined benefit pension plan	195,000
Selling and administrative expense	600,000
Gain on sale of available for sale securities	16,000
Gain on disposal of a discontinued business segment	26,000
Sales returns	106,000
Gross sales	7,300,000

The company has a 30% effective income tax rate.

What is the company's net income for Year 2?

• A.

  $3,665,200

• B.

  $3,535,420

• C.

  $3,808,420

• D.

  $3,647,000