Alpaca Corporation had revenues of $260,000 in its first year of operations. The company has not collected on $18,900 of its sales and still owes $26,500 on $90,000 of merchandlse it purchased. The company had no inventory on hand at the end of the year. The company pald $10,000 in salarles. Owners invested $14,000 in the business and $14,000 was borrowed on a five-year note. The company paid $3,500 in interest that was the amount owed for the year, and paid $7,400 for a two-year insurance policy on the first day of business. Alpaca has an effective income tax rate of 40%. Compute net income for the first year for Alpaca Corporation. Multiple Choice a. $170,000 b. $152,800 c. $91,680 d. $99,460