1. Sesame Corp. discontinued the operations of its Poppy division in 2020. Sesame's adjusted trial balance at December 31, 2020 included the following:

Sales............$170,000 (credit)

Cost of Goods Sold.....70,000 (debit)

Administrative expenses....$28,000 (debit)

Loss on sale of Poppy Equipment ...$11,000 (debit)

Sales commissions....$9000 (debit)

interest revenue......$6000 (credit)

loss of warehouse due to flood....15000 (debit)

Operating Expenses...$48,000 (debit)

Bad debt expense.....5000 (debit)

Totals: Debit is $162,000 & the total for credit is $176,000

50% of the operating expenses pertain to the Poppy Division. Sesame uses the perpetual system & their income tax rate as 30%. On Sesame's multiple-step income statement for 2020, income from discontinued operations is:

a. $10,500

b. $16,000

c. $24,000

d. $24,500