Due to the sluggish economy, the Wheels Company has experienced some difficulty in selling its bicycles. The following data relate to the current year:

Sales 9,000 units x $100@ $900,000 less: variable costs 9,000 units x $60@ $540,000 contribution margin $360,000 less: fixed costs $400,000 net loss $40,000

Question: Refer to the original data. In the following year, Wheels saved $5 of total variable costs per bicycle by buying parts from a different manufacturer. However, Wheels' rent, and insurance increased by $5,600. The store sold 11,000 bikes. What was its net income (loss) for the year?