Manufacturing Inc. has the following financials:

• Cash: $55,000
• Accounts Receivable: $40,000
• Inventory: $85,000
• Accounts Payable: $22,000
• Notes Payable: $18,000
• Long-Term Debt: $95,000
• Common Stock: $130,000
• Retained Earnings, beginning of year: $75,000
• Sales Revenue: $400,000
• Cost of Goods Sold: $250,000
• Operating Expenses: $90,000
• Interest Expense: $10,000
• Income Tax Expense: $12,000

Requirements:

1. Compute Manufacturing Inc.'s net income.
2. Calculate the gross profit.
3. Determine the total liabilities.
4. Find the ending retained earnings.