Geyser Corp. reported net income of $390,000 in 2007. During 2007 Geyser reported a loss of $72,000 from a peripheral activity. The loss was included as part of income from continuing operations. Assuming that the loss is a one-time event and that Geyser has an effective tax rate of 35% calculate Geyser's adjusted net income. Show all of your calculations for credit.
In addition, discuss why analysts might make an adjustment of this type.

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The Answer of Geyser Corp. reported net income of $390,000 in 2007. During 2007 Geyser reported a loss of $72,000 from a peripheral activity. The loss was included as part of income from continuing operations. Assuming that the loss is a one-time event and that Geyser has an effective tax rate of 35% calculate Geyser's adjusted net income. Show all of your calculations for credit.
In addition, discuss why analysts might make an adjustment of this type.