Susan is an auditor at a small public practice accountingfirm, Smith& WarrenLLP, and receives the following during theyear:

Salary: $80,000

Holiday giftbasket: $350 value

Annual membership at localgym: $1,750 value(Susan uses this membership for personal useonly)

Life insurance premiums paid byemployer: $1,100

Private health care insurance premiums paid byemployer: $975

Inaddition, Susan incurred the following expenses during theyear, for which she was notreimbursed:

CPA Professional Dues(professional status is required by statute forauditors): $1,500

Travel expenses(incurred to perform audits ofout-of-town clients of thefirm): $950

Which of the following is the correct amount of net employment income forSusan?