Florist Gump Company was started on January $1,$ Year $1$ when it issued common stock for $$42,000$ cash. Also, on January $1,$ Year $1$ the company purchased office equipment that cost $$18,200$ cash. The equipment was delivered under terms FOB shipping point, and transportation cost was $$2,700.$ The equipment had a five$-$year useful life and a $$6,700$ expected salvage value.

Assume that Florist Gump Company earned $$28,600$ cash revenue and incurred $$18,000$ in cash expenses in Year $3.$ Using straight$-$line depreciation and assuming that the office equipment was sold on December $31,$ Year $3$ for $$10,300,$ the amount of net income or $($loss$)$ appearing on the December $31,$ Year $3$ income statement would be:

Multiple Choice

$$5,680.$

$($$$2,980).$

$$2,780.$

$$6,720.$