Reporting Discontinued Operations-Disposal in Subsequent Year On October 1 of the current year, stain Compary approved a formal plan to sell the Mckay Division, considered a component of the business. The sale will oceur on March 31 of the following year. The division had operating income of $400,000 (pretax) for the year ended December 31 , but expects to incur an operating loss of 380,000 for the first quarter of next year. Blain determines the carrying value and fair value (net of seling costs) of the Mcksy Division to be \$4,000,000 and \$3,840,000, fespectively, on December 31 , Biain'stax rate for theyear is 25%. Weighted averoge number of cornmon shares outstanding in the current year is 250,000 . Required 2. Assume Bain Companys income from continuing operations is 31,840,000 (after tax) in the current year, Prepare a partas income statement begnning with income from continuing operations, include earnings per share disclosures. - Use a negative sign to indicate a loss. - Enter the answers for per share amounts in dollars and cents, rounded to the nesurest periny. b. How does the answer to part a change if the fair value of the cKay Division's net assets were $4,160,000 instead of $3,840,000 on December 31 ? - Use a negative sign to indicate a loss. - Enter the answers for per share amounts in dolars and cents, rounded to the nearest penny