Hull Company reported the following income statement information for the current year:

Sales$427,000

Cost of goods sold:

Beginning inventory$157,500

Cost of goods purchased290,000

Cost of goods available for sale447,500

Ending inventory161,000

Cost of goods sold286,500

Gross profit$140,500

The beginning inventory balance is correct. However, the ending inventory figure was overstated by $37,000. Given this information, the correct gross profit would be: