On October $5,2023,$ Diamond in the Sheffield Recruiting Group Inc.$\text{'}$s board of directors decided to dispose of the Blue Division. A

formal plan was approved. Diamond derives approximately $70\%$ of its income from its human resources management practice. The

Blue Division gets contracts to perform human resources management on an outsourced basis. The board decided to dispose of the

division because of unfavourable operating results.

Net income for Diamond was $$93,870$ for the fiscal year ended December $31,2023($after a charge for tax at $30\%$ and after a

writedown for the Blue assets$).$ Income from operations of the Blue Division accounted for $$4,970($after tax$)$ of this amount.

Because of the unfavourable results and the extreme competition, the board believes that it cannot sell the business intact. Its final

decision is to auction off the office equipment. The equipment is the division's only asset and has a carrying value of $$24,000$ at

October $5,2023.$ The board believes that proceeds from the sale will be approximately $$6,000$ after the auction expenses. Currently,

the equipment's estimated fair value is $$9,600.$ The Blue Division qualifies for treatment as a discontinued operation. Diamond

prepares financial statements in accordance with ASPE.

$($a$)$

Prepare a partial income statement for Diamond in the Sheffield Recruiting Group. The income statement should begin with income

from continuing operations before income tax.