With regard to the disposal of a business segment, the current year results of operations of the discontinued segment should

On May 1, 20X2, the board of directors of Edgewood, Inc., approved a formal plan to sell its electronics division.  The division is considered a segment of the business. It is expected that the actual sale will occur in the first three months of 20X3.  During 20X2 the electronics division had a loss from operations of $1,200,000 which was incurred evenly during the year.  Edgewood's effective tax rate for 20X2 is 40%.  For the year ended December 31, 20X2, Edgewood should report a loss from operations of discontinued electronics division of

During January 20X3, Doe Corp. agreed to sell the assets and product line of its Hart division.  The sale was completed on January 15, 20X4, and resulted in a gain on disposal of $900,000.  Hart's operating losses were $600,000 for 20X3 and $50,000 for the period January 1 through January 15, 20X4.  Disregarding income taxes, what amount of net gain (loss) should be reported in Doe's comparative 20X4 and 20X3 income statements?

          20X4                        20X3

According to FAS No. 144, operating losses incurred by a discontinued business unit during its phase-out period should be reported as a

When a company discontinues an operation and disposes of the discontinued operation (component), the transaction should be included in the earnings statement as a gain or loss on disposal reported as

On May 15, 20X6, Hart, In. approved a plan to dispose of a segment of its business. It is expected that the sale will occur on February 1, 20X7, at a selling price of $1,000,000.  Disposal costs incurred by Hart totaled $150,000, all of which were paid during 20X6.  The segment had actual or estimated operating losses as follows:

        1/1/20X6 to 5/14/20X6             $130,000
        5/15/20X6 to 12/31/20X6            50,000
        1/1/20X7 to 1/31/20X7                15,000

The carrying amount of the segment at the date of sale was expected to be $1,750,000.  Ignore the income tax effects.  What amount should Hart report under the caption operating loss discontinued segment in its 20X6 income statement?

Adjustments made in the current period to amounts previously reported in discontinued operations that are directly related to the disposal of a component of an entity in a prior period shall be 

Zonkie Company’s management decided to dispose of a business segment on November 1, 20X7,  The phase out period for disposing of the segment will be from November 1, 2007, until April 1, 2008.  On the measurement date, it is estimated that a gain will result from disposing of the segment’s assets on April 1, 2008.  The expected gain should be
           

On November 1, 20X2, Smith Co. contracted to dispose of a business component on February 28, 20X3.  Throughout 20X2 the segment had operating losses.  These losses were expected to continue until the segment's disposition.   If a loss is anticipated on final disposition, how much of the operating losses should be included in Discontinued Operations section reported in Smith's 20X2 income statements?

  I. Operating losses for the period January 1 to October 31, 20X2.
II. Operating losses for the period November 1 to December 31, 20X2.
III. Estimated operating losses for the period January 1 to February 28, 20X3.