Morlan company is preparing its December 31, 2014 financial statements. Two events that occured between December 31,2014 and March 10, 2015, when the statements were issued, are described below.

1. A liability, estimated at $160,000 at December 31, 2014, was settled on February 26, 2015, at $170,000.

2. A flood loss of $80,000 occured on March 1,2015.

what do these subsequent events have on 2014 net income?