Chisenhall Company purchased land and a building on January 1, 2022. Managements best estimate of the value of the land was $100,000 and of the building $200,000. However, management told the accounting department to record the land at $220,000 and the building at $80,000. The building is being depreciated on a straight-line basis over 15 years with no salvage value.

Calculate the annual change in net income

= $