In $2023,$ Cherry Tree Boutique $($a retail clothing company$)$ sold $257,000$ units of its product at an

average price of $$40\mathrm{.}00$ per unit. The company reported estimated returns and allowances in $2023$

of $1\mathrm{.}5$ percent of gross revenue. Cherry Tree Boutique actually purchased $252,000$ units of its

product from its manufacturer in $2023$ at an average cost of $$25\mathrm{.}00$ per unit. Cherry Tree Boutique

began $2023$ with $62,000$ units of its product in inventory $($carried at an average cost of $$25\mathrm{.}00$ per

unit$).$ Operating expenses $($excluding depreciation$)$ for Cherry Tree Boutique in $2023$ were

$$1,861,000$ and depreciation expense was $$100,000.$ Cherry Tree Boutique had $$3,400,000$ in debt

outstanding throughout all of $2023.$ This debt carried an average interest rate of $8\mathrm{.}6$ percent. Finally,

Cherry Tree Boutique's tax rate was $25$ percent. Cherry Tree Boutique's fiscal year runs from

January $1$ through December $31.$ Given this information, compute net income for Cherry Tree

Boutique for $2023.$

Referring back to the previous problem, compute Cherry Tree Boutique's ending inventory balance

for $2023($that is$,$ what did Cherry Tree Boutique report as inventory on its December $31,2023$

balance sheet$).$