Beacon Inc

question 197

Multiple Choice

Beacon Inc. disposes of an unprofitable segment of its business. The operation of the segment suffered a $350000 loss in the year of disposal. The loss on disposal of the segment was $150000. If the tax rate is 30% and income before income taxes was $2300000

• A) the income tax expense on the income before discontinued operations is $540000.
• B) the income from continuing operations is $1610000.
• C) net income is $1800000.
• D) the losses from discontinued operations are reported net of income taxes at $150000.

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Definitions:

Seamless Change

A method of implementing change in an organization in a way that minimizes disruptions and appears smooth and effortless to those involved.

Unfreezing

The recognition that some current state of affairs is unsatisfactory.

Organizational Change

A term referring to any alteration in the structure, operations, or culture of an entity that affects the way it conducts business.

Threat Is Perceived

Refers to the recognition or identification of a potential danger or harm in one's environment.