Morgans Water World (MWW), an LLC, opened several years ago and reports the following net 1231 gains and losses since it began business.

	Net 1231
Year	Gains/(Losses)
Year 1	$(11,000)
Year 2	5,000
Year 3	(21,000)
Year 4	(4,000)
Year 5	17,000
Year 6	(43,000)
Year 7(current year)	113,000

What amount, if any, of the year 7 $113,000 net 1231 gain is treated as ordinary income?

Answer to this question is 57000 which is a sum of Gain/Loss from Year 1 to Year 6.

I thought I should only add Gain/Loss from Year 2 to Year 6 because of 1231 5 year look back rule.

Can somebody explain why we take Gain/Loss for the past 6 years?