Keefe Inc, a Calendar-Year Corporation, Acquires 70% of George Company

Multiple Choice

Keefe Inc, a calendar-year corporation, acquires 70% of George Company on September 1, 2014, and an additional 10% on January 1, 2015. Total annual amortization of $6,000 relates to the first acquisition. George reports the following figures for 2015: $$\begin{array} { l r } \text { Revenues } & \$ 500,000 \\\text { Expenses } & 400,000 \\\text { Retained earnings, 1/1/15 } & 300,000 \\\text { Dividends paid } & 50,000 \\\text { Common stock } & 200,000\end{array}$$ Without regard for this investment, Keefe independently earns $300,000 in net income during 2015. All net income is earned evenly throughout the year.
What is the controlling interest in consolidated net income for 2015?

A) $380,000.
B) $375,200.
C) $375,800.
D) $376,000.
E) $400,000.