On January 2, 20X2, Piranha Company acquired 70 percent of Salmon Corporation's common stock for $420,000 cash. At the acquisition date, the book values and fair values of Salmon' assets and liabilities were equal, and the fair value of the noncontrolling interest was equal to 30 percent of the total book value of Salmon. The stockholders' equity accounts of the two companies at the acquisition date are as follows: Piranha Salmon Common Stock ($10 par value)$600,000 $350,000 Additional Paid-In Capital 450,000 50,000 Retained Earnings 250,000 200,000 Total Stockholders' Equity$1,300,000 $600,000 Noncontrolling interest was assigned income of $15,000 in Piranha's consolidated income statement for 20X2.Based on the preceding information, what is the total stockholders'
equity in the consolidated balance sheet as of January 2, 20X2?
A. $1,900,000
B. $1,300,000
C. $1,120,000
D. $1,480,000
Answer: D
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