Carver Lumber sells lumber and general building supplies to building contractors in a medium-sized town in Montana. Data regarding the store's operations follow:

Sales are budgeted at $365,000 for November, $335,000 for December, and $315,000 for January.

Collections are expected to be 80% in the month of sale and 20% in the month following the sale.

The cost of goods sold is 75% of sales.

The company desires to have an ending merchandise inventory equal to 60% of the following month's cost of goods sold. Payment for merchandise is made in the month following the purchase.

Other monthly expenses to be paid in cash are $26,200.

Monthly depreciation is $19,000.

Ignore taxes.

Balance Sheet
October 31
Assets
Cash	$ 23,500
Accounts receivable	80,000
Inventory	164,250
Property, plant and equipment, net of $509,500 accumulated depreciation	1,017,000
Total assets	$ 1,284,750
Liabilities and Stockholders Equity
Accounts payable	$ 279,500
Common stock	795,000
Retained earnings	210,250
Total liabilities and stockholders equity	$ 1,284,750

The net income for December would be: