On July 1, 20X6, Aaron signed a contract with Start Company to sell Segment C for $48,000 on October 1, 20X6. Consequently, it was properly classified as held for sale. On July 1, 20X6, its carrying amount was $50,000, and the fair value (net of cost to sell) was $35,000. Segment C incurred a $50,000 operating loss from January 1, 20X6, through June 30, 20X6. After the contract was signed, Segment C reported a $60,000 operating loss from July 1, 20X6, through October 1, 20X6. The operating losses do not include any amount from the disposal or the adjustment due to classification as held for sale.
Segment C's tax rate is the same as Aaron's 40% rate.
What is the loss on discontinued operations in Aaron's annual income statement for 20X6?
