Alpaca Corporation had revenues of $290,000 in its first year of operations. The company has not collectedon $18,500 of its sales and still owes $25,400 on $100,000 of merchandise it purchased. The company had no inventory on hand at the end of the year.The company paid $14,500 in salaries. Owners invested $29,000 in the business and $29,000 was borrowed on a five-year note. The company paid $2,300 in interest that was the amount owed for the year, and paid $6,600 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.

A. $190,000

B. $169,900

C. $116,620

D. $118,930