Krug Corporation has income before taxes of $900,000 and an extraordinary gain of $300,000.If the income tax rate is 25% on all items, the income statement should show income before irregular items and extraordinary items, respectively, of
A) $600,000 and $300,000.
B) $600,000 and $225,000.
C) $675,000 and $300,000.
D) $675,000 and $225,000.
Correct Answer:
Verified
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