The following changes in Vel Corp.’s account balances occurred during 2006:

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Increase

Assets

$89,000

Liabilities

27,000

Capital stock

60,000

Additional paid-in capital

6,000

Except for a $13,000 dividend payment and the year’s earnings, there were no changes in retained earnings for 2006. What was Vel’s net income for 2006?

  1. $ 4,000
  2. $ 9,000
  3. $13,000
  4. $17,000