Question: Shaquille Corporation has income before tax of $1.2 million and income tax expense of $300,000 for the year ended December 31, 2012, before considering the following items:
(1) a $225,000 gain, after tax, from the disposal of an operating segment, and
(2) an extraordinary loss of $150,000, after tax, due to a plant explosion.
Required: Prepare the 2012 income statement for Shaquille Corporation beginning with income before tax.