On March 1, 2019, Sandy and Jack formed the Love Corporation to provide an online dating service for older tennis players. Sandy performed various services, which had a fair market value of $11,120, in connection with the formation of Love. Sandy received 6,560 shares of common stock in exchange for performing those services and contributing $102,860 of cash to Love on March 1, 2019. On the same date, Jack contributed $25,020 of cash to Love in exchange for 1,440 shares of common stock. Love will start any amortization of its organizational expenditures, for tax purposes, on March 1, 2019. 

How does this affect their net income for 2019?