On December 31, 2024, the end of the fiscal year, California Microtech Corporation held its semiconductor business for sale at year-end. The estimated fair value of the segment’s assets, less costs to sell, on December 31 was $18 million. The semiconductor business segment qualifies as a component of the entity according to GAAP. Consider the following additional information.The book value of the assets of the segment at the time of the sale was $17 million.The loss from operations of the segment during 2024 was $3.2 million.Pretax income from other continuing operations for the year totaled $6.0 million.The income tax rate is 25%.Prepare the lower portion of the 2024 income statement beginning with income from continuing operations before income taxes.Note: Loss amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4. CALIFORNIA MICROTECH CORPORATIONPartial Income StatementFor the Year Ended December 31, 2024Income from continuing operations before income taxesIncome from continuing operationsDiscontinued operations:

A partial income statement is a financial document that professional may prepare for a company to examine during a short accounting period.it is usually only feature a few line items from a financial report like gross margin profit.Answer - Net income will be $ 2,850,000.

Answered: CALIFORNIA MICROTECH CORPORATION…

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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On December 31, 2024, the end of the fiscal year, California Microtech Corporation held its semiconductor business for sale at year-end. The estimated fair value of the segment’s assets, less costs to sell, on December 31 was $18 million. The semiconductor business segment qualifies as a component of the entity according to GAAP. Consider the following additional information.

The book value of the assets of the segment at the time of the sale was $17 million.
The loss from operations of the segment during 2024 was $3.2 million.
Pretax income from other continuing operations for the year totaled $6.0 million.
The income tax rate is 25%.

Prepare the lower portion of the 2024 income statement beginning with income from continuing operations before income taxes.

Note: Loss amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4.

CALIFORNIA MICROTECH CORPORATION
Partial Income Statement
For the Year Ended December 31, 2024
Income from continuing operations before income taxes
Income from continuing operations
Discontinued operations:

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