Exhibit 5-1 the Following Condensed Income Statement of Ranger Corporation

Exhibit 5-1 The following condensed income statement of Ranger Corporation is presented for the two years ended December 31, 2014 and 2013:



On January 1, 2014, Ranger entered into an agreement to sell one of its separate operating divisions for $2,000,000. The sale resulted in a gain on disposition of $900,000 on November 12, 2014, and qualifies as a discontinued component. This division's contribution to Ranger's reported income before income taxes for each year was as follows:

Assume an income tax rate of 30%.

-Refer to Exhibit 5-1. In the preparation of a revised comparative income statement, Ranger should report income from continuing operations after income taxes for 2014 and 2013, respectively, amounting to

A) $1,540,000 and $700,000
B) $1,540,000 and $980,000
C) $1,680,000 and $700,000
D) $1,680,000 and $980,000