The Smith Corporation disclosed $1.2 million as extraordinary loss on its internal income statement this year. The footnotes to the financial statements disclose the following occurrences this year:
1. Accounts receivable of $85,000 were written off
2. A loss of $125,000 was incurred when a storage facility in Louisiana was damaged in a hurricane.
3. A loss of $325,000 was incurred when a warehouse in northern New Mexico was damaged by a flood.
4. The company lost $365,000 when Smith sold one of its operating divisions.
5. A loss of $300,000 was incurred when a manufacturing facility in Washington state was damaged by an explosive device placed by a disgruntled ex-husband of an employee.

Required:
a. Are the items above extraordinary items for external reporting purposes? Discuss.
b. Show how the extraordinary items section of the income statement should have been reported (the tax rate is 30 percent).