The Callie Company has provided the following information:

Operating expenses were $233,000;

Cost of goods sold was $316,000;

Net sales were $830,000;

Interest expense was $36,000;

Gain on sale of a building was $73,000;

Income tax expense was $127,200.

What was Callie's income before taxes?

$514,000.

$318,000.

$198,000.

$235,000.