Alpaca Corporation had revenues of $210,000 in its first year of operations. The company has not collected on $19,800 of its sales and still owes $25,400 on $95,000 of merchandise it purchased. The company had no inventory on hand at the end of the year. The company paid $12,500 in salaries. Owners invested $29,000 in the business and $29,000 was borrowed on a five-year note. The company paid $2,400 in interest that was the amount owed for the year, and paid $6,400 for a two-year insurance policy on the first day of business. Alpaca has an effective income tax rate of 30%. Compute net income for the first year for Alpaca Corporation.

$ 78,090

$ 115,000

$ 67,830

$ 96,900