Mary Operates a Proprietorship That Generated $100,000 in Income Under

Mary operates a proprietorship that generated $100,000 in income under GAAP. Included in this amount are:
• $7,000 of amortization expense;
• $4,000 for bad debt expense;
• $112,000 cost of goods sold; and
• $12,000 meals and entertainment with clients.
Mary's maximum CCA has been calculated at $10,000 for the year. How much is Mary's business income for tax purposes?

A) $113,000
B) $109,000
C) $107,000
D) $103,000