Jing Company was started on January 1, Year 1 when it issued common stock for $45,000 cash. Also, on January 1, Year 1 the company purchased office equipment that cost $18,500 cash. The equipment was delivered under terms FOB shipping point, and transportation cost was $3,000. The equipment had a five-year useful life and a $7,000 expected salvage value. Assume that Jing Company earned $31,000 cash revenue and incurred $19,500 in cash expenses in Year 3. Using straight-line depreciation and assuming that the office equipment was sold on December 31, Year 3 for S10600. the amount of net income or (loss) appearing on the December 31, Year 3 income statement would be: 2:16) Multiple Choice $6.400. ( $3,500) $2,500