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2 Chance Company had two operating divisions, one manufacturing farm equipment and the other office supplies. Both divisions

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CHANCE COMPANY
Partial Income Statement
For the Year Ended December 31,2021
Income from continuing operations[a] 730000
Discounted operations:
Loss from operations of discontinued component -710000
Income tax benefit 177500
Loss on discontinued operations[b] -532500
Net income /[loss][a-b] 197500
Earning per share: 100000 Shares Outstanding
Income from continuing operations($ 560000/100000 Shares) 7.30
Loss from discontinued operations($ 405000/100000 Shares) -5.33
Net Income($ 155000/100000 Shares) 1.98

Working Note:

1) Calculation of Loss from discontinued operations:
Loss on sale of assets(1370000-780000) -590000
Operating loss -120000
Total before -tax loss -710000
Less: Income Tax benefit (710000*25%) 177500
Loss after tax -532500
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