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$4$ pts

Question $40$

Elan Company announced plans to dispose of one of its divisions on August $1,201.$ Operation of the division from January $1$ to July $31$ resulted in a loss of $$120,000($net of tax$).$ Operation from August $1$ to $201$ resulted in an additional operating loss of $$240,000($net of tax$).$ The company closed on the sale of the division on December $31,201,$ resulting in a $$60,000$ gain $($net of tax$).$ Elan's tax rate was $40\%.$ What amount$($s$)$ should have been reported on Elan's $20$X$1$ income statement related to this scenario?

No answer text provided.

$$120,000$ loss on "Line A$",$ $$180,000$ loss on "Line B$"$

$$120,000$ loss on "Line A$",$ $$240,000$ loss on "Line B$"$ and an "other gain" of $$60,000$

$$360,000$ loss on "Line A$",$ $$60,000$ gain on "Line B$"$

None of these