Mantitulin Ltd$.$ reports under ASPE standards. During this fiscal year, the senior management of Mantitulin Ltd$.$ decided to discontinue a major line of business and dispose of the associated asset group. Immediately prior to the end of the fiscal year, the assets of the discontinued business line were sold for a gain of $$100,000.$ Net income before taxes for Mantitulin Ltd$.$ for the fiscal year in question totalled $$1,300,000,$ of which $$150,000$ related to operations of the discontinued line of business $($revenues of $$575,000$ less expenses of $$425,000).$ Mantitulin Ltd$.\text{'}$s tax rate is $16\%.$

Which of the following income statement excerpts correctly presents the above facts?

Question $13$ options:

a$)$

Income from continuing operations before taxes $$1,050,000$

Income tax expense $168,000$

Net income from continuing operations $882,000$

Income from discontinued operations $($after tax of $$40,000)210,000$

Net income $$1,092,000$

b$)$

Income from continuing operations $$1,150,000$

Income from discontinued operations $150,000$

Income tax expense $(208,000)$

Net income $$1,092,000$

c$)$

Income from continuing operations before taxes $$1,150,000$

Income tax expense $208,000$

Net income from continuing operations $942,000$

Income from discontinued operations $150,000$

Net income $$1,092,000$

d$)$

Income from continuing operations before taxes $$1,200,000$

Income tax expense $192,000$

Net income from continuing operations $1,008,000$

Income from discontinued operations $($after tax of $$16,000)84,000$

Net income $$1,092,000$