Ask Question
19 November, 02:14

During 2017, Blossom Company disposed of Pine Division, a major component of its business. Blossom realized a gain of $2920000, net of taxes, on the sale of Pine's assets. Pine's operating losses, net of taxes, were $3580000 in 2017. How should these facts be reported in Blossom's income statement for 2017? Total Amount to be Included in Income from Results of Continuing Operations Discontinued Operations $3580000 loss $2920000 gain 2920000 gain 3580000 loss 0 660000 loss 660000 loss 0

+3
Answers (1)
  1. 19 November, 02:29
    0
    0 660000 loss

    Explanation:

    Data given in the question

    Realized gain = $2,920,000

    Operating losses, net of taxes = $3,580,000

    By considering the above information, since there is no income arise from continuing operations so it should be zero

    And, the discontinued operations, the operating losses is

    = Operating losses - realized gain

    = $3,580,000 - $2,920,000

    = $660,000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “During 2017, Blossom Company disposed of Pine Division, a major component of its business. Blossom realized a gain of $2920000, net of ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers