Juan Earns a Yearly Salary of $120,000 in His Job

Multiple Choice

Juan earns a yearly salary of $120,000 in his job and $1,000 per year in interest on his savings. After he quits his job to start a company, he uses all his savings to purchase manufacturing equipment for his company. Given the above information and the data summarizing his first year in business in the table, how much accounting profit or loss does Juan earn?
$Table\\\begin{array}{|l|l|}\hline \text { Revenue } & \begin{array}{l}\text { Bills paid for } \\\text { inputs }\end{array} \\\hline \$ 300,000 & \$ 175,000 \\\hline\end{array}$

A) $4,000
B) $5,000
C) $125,000
D) $126,000