BT Pool Cleaners began operations on January 1, 2013. The owner invested $10,000 during the first year and was able to withdraw cash of $42,000 after a successful first year.
During 2014, the second year of operations, the business reported net income of $175,000, owner withdrawals of $78,000, and no owner investments.
In 2015, the third year, BT Pool Cleaners incurred a loss of $5,000. The owner made no withdrawals and no owner investments during this period. At the end of 2015, owner's capital was $120,000.
Required
Calculate the net income or loss for 2013.