Quiz 1 Problem 3: During its first year of operations, Forrest Company paid $14,000 for direct materials and $18,000 for production workers' wages. Utilities on the production facilities amounted to $16,000 while general, selling, and administrative expenses totaled $8,000. The company produced 5,000 units and sold 3,000 units at a price of $14.00 a unit. What was Forrest's net income for the first year in operation? Select one: a. $5,000 b. $4,000 c. $5,200 d. $3,800