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Business, 16.03.2020 21:27 peachijmin

The company decided to discontinue an operating division during 2018 and sold the assets on December 15, 2018. Loss from operations of the division were $500,000 for the year through 12/15/2018. The assets were sold for $800,000 and had a net book value of $1,000,000. The effective income tax rate if 40%. Income from continuing operations after taxes was $2,000,000. Calculate net income and prepare the income statement starting with income from continuing operations.

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