Prepare discontinued operations section of income statement

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Problem - Results of Discontinued Operations - On November 30, Fleiner Company announced its plans to discontinue the operations of Division P (a major component of the company) by selling the division. On December 31, Division P had not yet been sold and was classified as held for sale. On this date, Division P had assets with a book value of $920,000 and liabilities with a book value of $610,000. Fleiner estimates that the fair value of Division P on this date is $190,000. During the year, Division P earned revenues of 920,000 and incurred expenses of $980,000. Fleiner is subject to a 30% income tax rate.

Required - Prepare the discontinued operations section of Fleiner's income statement. Show supporting calculations.

Reference no: EM132880347

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