Study the 2016 income statement of Kurzic Imports, Inc., and answer these questions about the company:

1. How much gross profit did Kurzic Imports earn on the sale of its products in 2016? How much was income from continuing operations? Net income?
2. At the end of 2016, what dollar amount of net income would most sophisticated investors use to predict Kurzic Imports' net income for 2017 and beyond? Name this item, give its amount, and state your reason.

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A1 Kurzic Imports, Inc Consolidated Statement of Operations (Adapted) Year Ended 2016 2015 2 (In thousands except per share amounts) 4 5 Net sales 1,806,092 1,825,975 Operating costs and expenses: 7 Cost of sales (including buying and store occupancy costs) 8 Selling, general, and administrative expenses 9 Depreciation and amortization 10 Total operating costs and expenses 11 Operating income (loss) 12 Nonoperating (income) and expenses: 13 Interest and investment income 14 Interest expense 15 Interest income, net 16 Income (loss) from continuing operations before income taxes 17 Provision (benefit) for income taxes 18 Income (loss) from continuing operations 19 Discontinued operations: 20 Income (loss) from discontinued operations 21 Net income (loss 1,045,880 1,121,690 526,060 549,850 55,675 1,620,690 1,727215 98,760 48,750 185,4029 (2,740)12,675 1,640 1725 950) (1,100) 186,502 99,710 34,700 S117,187 65010 69,315 210 (2,300) 117.397 62,710 23 Earnings (loss) per share from continuing operations: Basic 1.52 0.85 24 25 Earnings (loss) per share from discontinued operations: Basic 26 27 Earnings (loss) per share: Basic 28 $0.00(0.03) $ 1.52 0.83