Question: Clockers, lnc, committed to sell a division on March 22, 2018. It sold the division on June 14, 2020. Income from operating this division was

Clockers, lnc, committed to sell a division on March 22, 2018. It sold the division on June 14, 2020. Income from operating this division was $3,240,000, $1,005,000, and $332,000 in 2018, 2019 and 2020, respectively. On December 31, 2018, the carrying value of the division was $10,000,000 and the fair value was $9,500,000. On December 31, 2019, the fair value of the division was $10,100,000 and the carrying value of the division was $10,000,000. The division was sold for $9,800,000 when the carrying value was 10,000,000. Prepare the discontinued operations section of the income statement for 2018 through 2020, assuming Clocker's income tax rate is 35%.

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