Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions
Spectrum Corporation sold its Specialties Division during 2010. The company's accountants determined that the division had a pre-tax loss $770,000 during 2010 prior to disposal. The sale resulted in a $235,000 gain before taxes. The company had neither extraordinary items nor any cumulative accounting adjustments. Spectrum's income from continuing operations for 2010 amounted to $23,460,000. The company's effective tax rate is 38%.
-The amount of loss from operations of the Specialties Division that would appear on the 2010 income statement of Spectrum Corporation is:

A) $770,000
B) $477,400
C) $331,700
D) $292,600