During the Year 2015,Torino Corporation Suffered a $1,200,000 Loss When

Multiple Choice

During the year 2015,Torino Corporation suffered a $1,200,000 loss when its factory was severely damaged in an earthquake.Assuming the corporate income tax rate is 30%,what amount will Torino report as an extraordinary loss on its income statement for 2015? Assume earthquakes are not common in this area.

A) $1,200,000.
B) $840,000.
C) $360,000.
D) Nothing,since this does not qualify as an extraordinary item.