On April 30, Deer Corp. approved a plan to dispose of a component of its business. For the period January 1 through April 30, the component had revenues of $500,000 and expenses of $800,000. The assets of the component were sold on October 15 at a loss. In its income statement for the year ended December 31, how should Deer report the component's operations from January 1 to April 30?
a. $500 ,000 and $800,000 should be included with revenues and expenses , respectively, as part of continuing operations.
b. $300 ,000 should be reported as part of the loss on disposal of a component and included as part of continuing operations.
c. $300,000 should be reported as an extraordinary loss.
d. $300,000 should be reported as a loss from operations of a component and included in loss from discontinued operations.
Answer: D