In 2018, Timmers, Inc. (a retail clothing company) sold 57,200 units of its product at an average price of $250.00 per unit. The company reported estimated returns and allowances in 2018 of 1.65 percent of gross revenue. Timmers actually purchased 59,500 units of its product from its manufacturer in 2018 at an average cost of $180.00 per unit. Timmers began 2018 with 8,250 units of its product in inventory (carried at an average cost of $180.00 per unit). Operating expenses (excluding depreciation) for Timmers, Inc. in 2018 were $718,600 and depreciation expense was $310,000. Timmers had $3,000,000 in debt outstanding throughout all of 2018. This debt carried an average interest rate of 5.5 percent. Finally, Timmers tax rate was 40 percent. Timmers fiscal year runs from January 1 through December 31. Given this information, compute net income for Timmers for 2018.

Referring back to the previous problem, compute Timmers ending inventory balance for 2018 (that is, what did Timmers report as inventory on its December 31, 2018 balance sheet).