Stolz Company had these transactions during the first month of the new accounting period. Sold merchandise for $900 on credit; its cost was $500 and it was purchased and paid for last year. Collected $400 from an account receivable. The account was established in the previous year. Used office supplies of $150 purchased and paid for in the prior year. Stolz's net income for the new period would be:

-$650

-$400

-None of these is correct

-$800

-$250