The financial statements of Novak Ltd. include the following items at December 31, 2025. Accounts payable $21,040 Income tax expense $5.160 Accounts receivable 20,820 Interest expense 4.540 Accumulated depreciation-buildings 50,580 Interest payable 2,080 Accumulated depreciation-equipment 21,480 Land 194,000 Buildings 133,840 Long-term investments 28.990 Cash 24,030 Mortgage payable 104,000 Common stock: 140,000 Operating expenses 158,640 Equipment 66,080 Prepaid insurance 1,440 Retained earnings, January 1 116,520 Service revenue 183,030 Supplies 1,190 (a) Calculate net income and the ending balance of retained earnings at December 31, 2025, Net income $