During 2016, Savage Co. disposed of A Division, a major component of its business. Savage realized a gain of $3200000, net of taxes, on the sale of A's assets. A's operating losses, net of taxes, were $5900600 in 2016. How should these facts be reported in Savage's income statement for 2016?

	Total Amount to be Included in
	Income from		Results of
	Continuing Operations		Discontinued Operations

$3600000 loss

$2940000 gain

0

660000 loss

660000 loss

0

2940000 gain

3600000 loss