Answer:
Esquire Comic Book Company
Income Statement
For the Year Ended December 31, 2016
<u />
Income from continuing operations $1,700,000
<u>Restructuring costs ($75,000)</u>
Income form continuing operations before taxes $1,625,000
<u>Income taxes ($650,000)</u>
Net income from continuing operations $975,000
Discontinued operations:
Income from discontinued operations $640,000
<u>Loss on disposal of division ($420,000)</u>
Income from discontinued operations before taxes $220,000
<u>Income taxes ($88,000)</u>
Net income from discontinued operations $132,000
Total net income $1,107,000
