Delta Corporation Owns 90% of Sigma Company, and Sigma Owns

Multiple Choice

Delta Corporation owns 90% of Sigma Company, and Sigma owns 90% of Pi, Inc., all of which are domestic corporations. There are no excess amortizations associated with any of the acquisitions. Information for the three companies for the year ending December 31, 2021 follows: What is Sigma's accrual-based income for 2021?

A) $400,000.
B) $592,000.
C) $540,000.
D) $572,800.
E) $600,000.