Pell Company acquires 80% of Demers Company for $500,000 on January 1, 2019. Demers reported c stock of $300,000 and retained earnings of $210,000 on that date. Equipment was undervalued by $3 and buildings were undervalued by $40,000, each having a 10-year remaining life. Any excess conside transferred over fair value was attributed to goodwill with an indefinite life. Based on an annual review goodwill has not been impaired. Demers earns income and pays dividends as follows: 2019 2020 2021 Net income $ Dividends 100,000 40,000 $ 120,000 50,000 $ 130,000 60,000

On December 31, 2024, the end of the fiscal year, Revolutionary Industries completed the sale of its robotics business for $11.2 million. The robotics business segment qualifies as a component of the entity, according to GAAP. Consider the following additional information: The book value of the assets of the segment was $8.1 million at the time of the sale. The income from operations of the segment during 2024 was $5.1 million. Pretax income from other continuing operations for the year totaled $13.1 million. The income tax rate is 25 %. Prepare the lower portion of the 2024 income statement beginning with income from continuing operations before income taxes. Note: Loss amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4.