The Following Data Relate to Rocket Company for the Year

The following data relate to Rocket Company for the year ended December 31, 2012.Rocket Company uses the cash basis. $$\begin{array} { l r } \text { Sales on credit } & \$ 180,000 \\\text { Cost of inventory sold on credit } & 130,000 \\\text { Collections from customers } & 170,000 \\\text { Purchase of inventory on credit } & 140,000 \\\text { Payment for purchases } & 150,000 \\\text { Selling expenses (accrual basis) } & 20,000 \\\text { Payment for selling expenses } & 25,000\end{array}$$ Which of the following amounts represents income for Rocket Company for the year ended December 31, 2012?

A) $30,000
B) $5,000 loss
C) $40,000
D) $45,000
E) $50,000