Borrowed $98,500 from a bank, signing a short-term note payable.

Provided $104,600 in service to customers, with $99,600 on account and the rest received in cash.

Purchased equipment for $158,000 in cash.

Incurred and paid employee wages of $2,800.

Received $605 on account from a customer.

Incurred and paid $5,350 cash for travel costs during the year.

Paid $9,600 cash on accounts payable.

Incurred $30,400 in utility expenses during the year, of which $24,600 was paid in cash and the rest owed on account.

1. Calculate the companys preliminary net income.