S12-1. Corporate financial statements (Learning Objective 1) 5-10 min. Identify whether each of the following items would be classified as: Income from continuing operations (C) Income from discontinued operations (D) An extraordinary item (E) A change in accounting principle (P) a. $5,000 insurance proceeds on a fully depreciated piece of equipment that was lost in a hurricane. b. $2,500 gain on the sale of office furniture. c. $18,000 increase in income as a result of changing from DDB depreciation to straight-line depreciation. d. Income tax expense e. $85,000 loss incurred as a result of closing the Coeur d'Alene, Idaho store location. f. $4,600 loss incurred as a result of a company vehicle being involved in an accident.