In the current year, Randa Merchandising, Inc., sold its interest in a chain of wholesale outlets, taking the company completely out of the wholesaling business. The company still operates its retail outlets.

	Item		Debit			Credit
1.	Net sales				$	2,960,000
2.	Gain on states condemnation of company property					263,000
3.	Cost of goods sold	$	1,510,621
4.	Income tax expense		207,000
5.	Depreciation expense		227,500
6.	Gain on sale of wholesale business segment, net of tax					797,500
7.	Loss from operating wholesale business segment, net of tax		455,000
8.	Loss of assets from meteor strike		670,000

Prepare the December 31 year-end income statement. (Loss amounts should be indicated with a minus sign.)

I don't understand how to figure the loss from meteor strike or what the title for the $342,500 number which are both wrong. please help?

Income Statement For Year Ended December 31 $ 2,960,000 Net sales Expenses: Cost of goods sold Depreciation expense | $ 1,510,621 227,500 Total operating expenses 1,738,121 1,221,879 Other unusual and/or infrequent gains (losses) Gain on state's condemnation of company property Loss on assets from meteor strike Income from continuing operations before taxes 263,000 (215,000) 1,269,879 207,000 1,062,879 Income tax expense Income from continuing operations Discontinued segment: Loss from operating wholesale business segment (net of tax) Gain on sale of wholesale business segment (net of tax) Income before extraordinary gain Net income (455,000) 797,500 342,500 1,405,379 $ Income Statement For Year Ended December 31 $ 2,960,000 Net sales Expenses: Cost of goods sold Depreciation expense | $ 1,510,621 227,500 Total operating expenses 1,738,121 1,221,879 Other unusual and/or infrequent gains (losses) Gain on state's condemnation of company property Loss on assets from meteor strike Income from continuing operations before taxes 263,000 (215,000) 1,269,879 207,000 1,062,879 Income tax expense Income from continuing operations Discontinued segment: Loss from operating wholesale business segment (net of tax) Gain on sale of wholesale business segment (net of tax) Income before extraordinary gain Net income (455,000) 797,500 342,500 1,405,379 $