An audit of Kennedy Co. for its first year of operations detected the following errors made at December 31:

- Failed to accrue $50,000 interest expense

- Failed to record depreciation expense on office equipment, $80,000

- Failed to amortize prepaid rent expense of $100,000

- Failed to delay recognition of prepaid insurance expense of $60,000

The net effect of these errors was to overstate net income for the year by??????