12&13. Assume the following 12/31/20 account balances/ information: Sales $300,000 CGS 100,000 Operating Expenses 105,000 Gain from Sale of AFS 10,000 Unrealized Loss, Trading 3,000 I Uneamed Revenue 10,000 Loss from Discontinued Operations $25,000 Income Tax Rate 25% 12. How much is 2020 net income? a) $51,500 b) $44,000 c) $66,750 d) $57,750 13. How is discontinued operations reported on the income statement? a) as a loss of $25,000 b. as a loss of $18,750 c) as a loss of S6,250 d) it's not reported at all 14. Assume a $5,000 debit balance in the Market Adjustment, AFS account at 12/31/20. The AFS investment had a cost of $30,000 and a FMV of $28,000 as of 12/31/21. Which of the following is true about the adjusting journal entry that will be made at 12/31/21? a) Unrealized loss will be debited for $2,000. b) Unrealized loss will be debited for $7,000. c) Market Adjustment will be debited for $2,000. d) Market Adjustment will be debited for $7,000