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Rich Co. had a loss due to earthquake damage totaling $100,000. This loss was both unusual and infrequently occurring. Rich's tax rate on all items is 30%. No other unusual or non-recurring items exist. Which of the following is true about the presentation of this loss on Rich's income statement? Question 11 options:
A. The $100,000 will be a subtraction within the continuing operations section.
B.Rich will reduce continuing operations by $70,000.
C.The $100,000 will be an extraordinary item shown after continuing operations.
D. The $70,000 net-of-tax amount will be an extraordinary item shown after continuing operations.
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