Keefe, Inc., a calendar-year corporation, acquires 70% of George Company on September 1, 2019, and an additional 10% on January 1, 2020. Total annual amortization of $6,000 relates to the first acquisition. George reports the following figures for 2020: Revenues$500,000 Expenses 400,000 Retained earnings, 1/1/20 300,000 Dividends paid 50,000 Common stock 200,000 ?Without regard for this investment, Keefe independently earns $300,000 in net income during 2020.?All net income is earned evenly throughout the year.?What is the controlling interest in consolidated net income for 2020?
A. $400,000.
B. $380,000.
C. $376,000.
D. $375,200.
E. $375,800.
Answer: D
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