Question:Why do firms distinguish income from continuing operations and income from discontinued operations? 

A Because it makes the firm look smart for discontinuing an operation 
B Because it increases the company's per share price 
C Because it reduces the tax effect if it is reported separately 
D Because it gives investors and stockholders insight into the impact that the sale of the discontinued operation will have on the company 

+ Answer
B 

+ Explanation
Answer not sure

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Md. Habib Ullah

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