Esquire Comic Book Company had income before tax of $1,600,000 in 2021 before considering the following material items: 1. Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting principles. The before-tax loss on disposal was $400,000. The division generated before-tax income from operations from the beginning of the year through disposal of $620,000.

2. The company incurred restructuring costs of $65,000 during the year.

Required:
Prepare a 2021 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 40%.