Assume a merchandising company provides the following information from its master budget for the month of May:

Sales $ $218,000$

Cost of goods sold $ $77,000$

Cash paid for merchandise purchases $ $72,000$

Selling and administrative expenses $ $32,000$

Cash paid for selling and administrative expenses $ $31,000$

What is the budgeted net operating income?

Multiple Choice

$$6,000$

$$37,000$

$$125,000$

$$109,000$