The following condensed income statements of the Jackson Holding Company are presented for the two years December 31, 2021 and 2020: 2021 2020 Sales revenue Cost of goods sold Gross profit Operating expenses Operating income Gain on sale of division $16,900,000 $11,500, 000 10,150,000 6,750,000 3,960,000 2,790,000 790,000 3,580,000 895,000 $2,685,000 $ 892,500 6,950, 000 4,550,000 3,360, 000 1,190, 000 1,190,000 297,500 Income tax expense es Net income On October 15, 2021, Jackson entered into a tentative agreement to sell the assets of one of its divisions. The division qualifies as a component of an entity as defined by GAAP. The division was sold on December 31, 2021, for $5,570,00 Book value of the division's assets was $4,780,000. The division's contribution to Jackson's operating income before-tax for each year was as follows: 2021 2020 $495,000 $395,000 Assume an income tax rate of 25 %. Required: (ln each case, net any gain or loss on sale of division with annual income or loss from the division and show the tax effect on a separate line.) 4 of 5 Next >