Madison Deers Troopers, LLC (MDT), is a fledgling US based hedge fund having slightly more than $50 million in assets under management MDT specializes in owning and managing small sized properties in agriculture, forestry, and mining Giannis Frig, MDT's merger and acquisition (M A) analyst is evaluating Whitewater Hawkes Farm, Inc (WHF) for a potential acquisition WHF owns 1,500 acres of fertile land, farm buildings, machinery, residential quarters, livestock, cattle feed, seeds, grain, significant amounts of intangible assets, and so on Selected data from WHFs income statement for the year ended December 2019 and additional estimates compiled by Frig are presented in Exhibits 1 and 2 Exhibit 1 FDP's Select Financial Data for The Year Ended December 2019 Gross revenues from crops, livestock, feed, and so on $3,214,252 Cost of goods sold 1,032,820 Selling, general, and administrative expenses (SG A) 837,287 Depreciation and amortization 165,080 Tax rate 26 Notes WHF carries debt in the amount of $662,854 at an interest rate of 8 , and it comprises 21 of total assets on a book value basis Debt will be a part of the acquisition transaction WHF holds $227,715 in cash and short term investments, but it will not be a part of the assets under acquisition transaction Exhibit 2 Additional Data and Frig's Estimates for Normalization The cost of goods sold ratio should be higher at 43 SG A includes $400,000 in owners compensation According to Frigs research, owners compensation expense for similar sized farms is $234,368 A ranch and living quarters are not required for the farms core operations The reported SG A expenses include $121,084 for operating expenses relating to those properties The ranch and living quarters will be kept by the current owners and are not a part of WHFs farming operations being considered for purchase by the hedge fund For pro forma estimations, Frig will consider depreciation and amortization at 12 of gross revenues He thinks the current tax rate of 26 is reasonable Using the companys data and Frigs assessments and estimates in Exhibits 1 and 2, WHFs normalized operating income after taxes for 2019 is closest to what number Please round your answer to the nearest integer

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Madison Deers Troopers, LLC (MDT), is a fledgling US-based hedge fund having slightly more than $50 million in assets under management. MDT specializes in owning

Madison Deers Troopers, LLC (MDT), is a fledgling US-based hedge fund having slightly more than $50 million in assets under management. MDT specializes in owning and managing small-sized properties in agriculture, forestry, and mining.

Giannis Frig, MDT's merger and acquisition (M&A) analyst is evaluating Whitewater Hawkes Farm, Inc. (WHF) for a potential acquisition. WHF owns 1,500 acres of fertile land, farm buildings, machinery, residential quarters, livestock, cattle feed, seeds, grain, significant amounts of intangible assets, and so on. Selected data from WHFs income statement for the year ended December 2019 and additional estimates compiled by Frig are presented in Exhibits 1 and 2.

Exhibit 1 - FDP's Select Financial Data for The Year Ended December 2019

Gross revenues from crops, livestock, feed, and so on	$3,214,252
Cost of goods sold	1,032,820
Selling, general, and administrative expenses (SG&A)	837,287
Depreciation and amortization	165,080
Tax rate	26%

Notes:

WHF carries debt in the amount of $662,854 at an interest rate of 8%, and it comprises 21% of total assets on a book value basis. Debt will be a part of the acquisition transaction.
WHF holds $227,715 in cash and short-term investments, but it will not be a part of the assets under acquisition transaction.

Exhibit 2 - Additional Data and Frig's Estimates for Normalization

The cost of goods sold ratio should be higher at 43%.
SG&A includes $400,000 in owners compensation. According to Frigs research, owners compensation expense for similar-sized farms is $234,368.
A ranch and living quarters are not required for the farms core operations. The reported SG&A expenses include $121,084 for operating expenses relating to those properties. The ranch and living quarters will be kept by the current owners and are not a part of WHFs farming operations being considered for purchase by the hedge fund.
For pro forma estimations, Frig will consider depreciation and amortization at 12% of gross revenues. He thinks the current tax rate of 26% is reasonable.

Using the companys data and Frigs assessments and estimates in Exhibits 1 and 2, WHFs normalized operating income after taxes for 2019 is closest to what number? Please round your answer to the nearest integer.