On June 30, 2023, XYZ Inc. decided to sell their drug development business segment. The assets of the business segment (component) were sold on July 10, 2023 for $1.2 million. The book value of the assets were $1.0 million at the date of sale. Over the calendar year of 2023, the business segment has losses of $300,000. Assume that the business’s tax rate is 25%. What should the business record as income from discontinued operations?

Answer rating: 100% (QA)

Based on the information given XYZ Inc should record a gain on the sale of discontinued operations a... View the full answer