Selected information taken from the financial statements of Fordstar Co. for the year ended December 31, 2010, follows:

Net cash provided by operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 98,000

Cost of goods sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 310,000

Selling, general, and administrative expenses . . . . . . . . . . . . . . . . . . . . . . 124,000

Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90,000

Extraordinary loss from hurricane, net of tax savings of $36,000 . . . . . . . 136,000

Research and development expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,000

Net loss from discontinued operations, net of tax savings of $24,000 . . . . 60,000

Provision for income taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78,000

Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 840,000

Interest expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64,000

a. Calculate income from operations (operating income) for the year ended December 31, 2010.

b. Calculate net income for the year ended December 31, 2010.