Use the Following Information for Questions 17 & 18

Multiple Choice

Use the following information for Questions 17 & 18:
P Company owns an 80% interest in S Company.During 2014, S sells merchandise to P for $200,000 at a profit of $40,000.On December 31, 2014, 50% of this merchandise is included in P's inventory.Income statements for P and S are summarized below:
-Controlling interest in consolidated net income for 2014 is:

A) $300,000.
B) $380,000.
C) $396,000.
D) $420,000.