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

Sales	$ 236,000
Cost of goods sold	$ 81,500
Cash paid for merchandise purchases	$ 76,500
Selling and administrative expenses	$ 36,500
Cash paid for selling and administrative expenses	$ 36,400

What is the budgeted net operating income?

Multiple Choice

• $5,100

• $41,500

• $133,100

• $118,000