Calculate operating income and net income The following information is available from the accounting records of Manahan Co. for the year ended December 31, 2010:

Net cash provided by financing activities

$112,000

Dividends paid.

18,000

Extraordinary loss from flood, net of tax savings of $35,000

105,000

Income tax expense

26,000

Other selling expenses.

13,000

Net sales

644,000

Advertising expense

45,000

Accounts receivable

62,000

Cost of goods sold

368,000

General and administrative expenses.

143,000

Required:

a. Calculate the operating income for Manahan Co. for the year ended December 31, 2010.

b. Calculate the company’s net income for 2010.