The following information is available about George Inc's discontinued operations: $$\begin{array} { | l | r | }
\hline \text { Profit attributable to discontinued operations (before taxes) } & \$ 1,500,000 \
\hline \text { Net gain on disposal } & 200,000 \
\hline \text { Income taxes attributable to discontinued operations } & 100,000 \
\hline
\end{array}$$ What single amount will be presented on George's statement of comprehensive income?
A)$1,400,000
B)$1,500,000
C)$1,600,000
D)$1,700,000

Question

The following information is available about George Inc's discontinued operations: $$\begin{array} { | l | r | } 
\hline \text { Profit attributable to discontinued operations (before taxes) } & \$ 1,500,000 \
\hline \text { Net gain on disposal } & 200,000 \
\hline \text { Income taxes attributable to discontinued operations } & 100,000 \
\hline
\end{array}$$ What single amount will be presented on George's statement of comprehensive income?
A)$1,400,000
B)$1,500,000
C)$1,600,000
D)$1,700,000

Quizplus · Accepted Answer

The single amount to be presented on George's statement of comprehensive income is the profit attributable to discontinued operations, net of income taxes, and the net gain on disposal. Thus, $1,500,000 - $100,000 + $200,000 = $1,600,000, which is the amount that will be presented on the statement of comprehensive income.

The Following Information Is Available About George Inc's Discontinued Operations