Chapter 17, Problem 17E

To determine

Concept Introduction:

Continuing operations:

Continuing operations section of the income statement includes the revenues and expenses related to normal & frequent operations of the business. In other words we can say that incomes & expenses which are result of normal operations of the business are reported under this section of the income statement.

Discontinued segment:

Discontinued segment section of the income statement includes the gains & losses from selling a segment of the business or closing down a particular segment of the business. In other words we can say that when a business entity closes a particular segment then income or loss of such segment is reported under this section of the income statement.

Reporting of items of income statement under suitable section