On December 31, 2019, The Bates Company's revenue is $360,000 and expenses total $260,000 before consideration of the following:

Accrued wages total $14,000;

Accrued revenues total $42,000;

Depreciation expense is $20,000;

Rental revenue of $4,000 was earned; the rent from a tenant was initially recorded by Bates as unearned rent revenue;

The income tax rate is 35% of income before income taxes.

What is Bates' net income after consideration of the above information?

Multiple Choice

• $72,800.

• $70,200.

• $100,000.

• $112,000.