Christy enterprises reports the year-end information from 2011 as follows:

Sales (100,000 units).................................................................$500,000
Less: Cost of goods sold.............................................................300,000
Gross profit..................................................................................200,000
Operating expenses (includes $20,000 of Depreciation)............120,000
Net Income...................................................................................$80,000

Christy is developing the 2012 budget. In 2012 the company would like to increase selling prices by 10%, and as a result expects a decrease in sales volume of 5%. Cost of goods sold as a percentage of sales is expected to increase to 62%. Other than depreciation, all operating costs are variable.

What is net income for 2012?