Round and Round Inc. sells its products for $115 each. The current production level is 65,000 units, although only 55,000 units are anticipated to be sold. The following data were reported by the company in 2020:

Unit manufacturing costs are:
Direct materials	$ 16.00
Direct manufacturing labor	$ 25.00
Variable manufacturing costs	$ 35.00
Total fixed manufacturing costs	$350,000
Marketing expenses	$3.00 per unit, plus $205,000 per year

Using the information, prepare an income statement using variable costing. What is Round and Round's operating income (loss) for 2020?