Provide Amount from Option Bright Bulbs Inc. sold its LED division resultingin a gain of $80,000. Assuming a tax rate of30%, the gain on this disposal will be reportedon the income statement at what amount?A) $56,000B) $104,000C) $80,000D) $24,000

Step 1: Define Asset Disposal: When a company sells a division or asset for more than its book…

Answered: Bright Bulbs Inc. sold its LED division…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Bright Bulbs Inc. sold its LED division resulting in a gain of $80,000. Assuming a tax rate of 30%, the gain on this disposal will be reported on the income statement at what amount? A) $56,000 B) $104,000 C) $80,000 D) $24,000