An Income Statement Shows "Income Before Income Taxes and Extraordinary

Multiple Choice

An income statement shows "income before income taxes and extraordinary items" in the amount of $3,425,000. The income taxes payable for the year are $1,800,000, including $600,000 that is applicable to an extraordinary gain. Thus, the "income before extraordinary items" is

A) $2,225,000.
B) $1,025,000.
C) $2,325,000.
D) $1,125,000.