Exercise 4-7 (Algo) Income statement presentation; discontinued operations; restructuring costs [LO4-1, 4-3, 4-4]

Esquire Comic Book Company had income before tax of $1,700,000 in 2021 before considering the following material items:

1. 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 $410,000. The division generated before-tax income from operations from the beginning of the year through disposal of $640,000.
2. The company incurred restructuring costs of $75,000 during the year.

Required: Prepare a 2021 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 25%. Ignore EPS disclosures. (Amounts to be deducted should be indicated with a minus sign.)