Facts: The trial balance below presents the income statement accounts for Year 1 from All Sports Company's trial balance. The golf division of All Sports has been losing money on a monthly basis. The golf division's income statement accounts are also presented below. The board of directors decides on April 30, Year 1, to dispose of the golf division. The carrying value of the golf division on April 30, Year 1, is $4,000,000, and its fair value less costs to sell is $2,200,000. After months of negotiations, the division's net assets are sold on June 30, Year 2, for $2,000,000. The golf division has continuing losses in Year 2 of $200,000 per month. All Sports' income tax rate is 40 percent for Years 1 and 2. Assume that All Sports' income from continuing operations is $4,875,000 in Year 1 and $5,200,000 in Year 2. -V in vake All Sports Company Trial Balance Year 1 18+ 60%) - (1080k) All Components Golf Division 4000 Sales revenue $21,000,000 $2,500,000 poctiss) 5000 Cost of goods sold $9,500,000 1,850,000 5300 Freight out 155,000 135,000 5400 Commissions 900,000 220,000 5500 Advertising 1,200,000 600,000 5600 Insurance expense 1,400,000 750,000 5700 Salaries expense 2,500,000 850,000 for discan bouti5800 Depreciation expense 950,000 495,000 Operatons 750,000 A) 6000 Interest revenue 6200 Other revenue 300,000 400,000 6500 Gain on sale of assets ales) 7000 Interest expense 120,000 7500 Impairment loss 1,800,000 1,800,000 ] Required: How should the disposal of the golf division be reported on All Sports Company's Year 1 and Year 2 financial statements? Operating exr Calculating a