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Esquire Comic Book Company had income before tax of $$1,100,000$ in $2024$ before considering the following material items:

Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting

principles. The before$-$tax loss on disposal was $$350,000.$ The division generated before$-$tax income from operations from the

beginning of the year through disposal of $$520,000.$

The company incurred restructuring costs of $$65,000$ during the year.

Required:

Prepare the income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of $25\%.$

Ignore EPS disclosures.

Note: Amounts to be deducted should be indicated with a minus sign.

Answer is complete but not entirely correct.

ESQUIRE COMIC BOOK COMPANY

Partial Income Statement

For the Year Ended December $31,2024$