Alpaca Corporation had revenues of $290,000 in its first year of operations. The company has not collected on $19,500 of its sales and still owes $25,700 on $85,000 of merchandise it purchased. The company had no inventory on hand at the end of the year. The company paid $10,000 in salaries. Owners invested $30,000 in the business and $30,000 was borrowed on a five-year note. The company paid $3,400 in interest that was the amount owed for the year, and paid $6,500 for a two-year insurance policy on the first day of business. Alpaca has an effective income tax rate of 40%. Compute net income for the first year for Alpaca Corporation.