During 2020, GlenTel Inc. sold its interest in a chain of wholesale outlets. This sale took the company out of the wholesaling business completely. The company still operates its retail outlets. Following is a lettered list of sections of an income statement:

a. Profit or loss from continuing operations

b. Profit or loss from operating a discontinued operation

c. Profit or loss from disposing of a discontinued operation

Indicate where each of the eight profit-related items for the company would appear on the 2020 income statement by writing the letter of the appropriate section in the blank beside each item.

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Debit Credit 1. Depreciation expense. 2. Gain on sale of wholesale operation (net of $135,000 income taxes). 3. Loss from operating wholesale operation (net of $111,000 tax benefit). 4. Salaries expense. 5. Sales. 6. Gain on expropriation of company property. 7. Cost of goods sold. 8. Income taxes expense. $157,500 $ 405,000 333,000 324,000 1,620,000 264,000 828,000 190,200