Hardford Corp

Multiple Choice

Hardford Corp. held 80% of Inglestone Inc., which, in turn, owned 80% of Jade Co. Excess amortization expense was not required by any of these acquisitions. Separate net income figures (without investment income) as well as upstream intra-entity gross profits (before deferral) included in the income for the current year follow:

-The accrual-based net income of Jade Co.is calculated to be

A) $193,000.
B) $189,000.
C) $196,000.
D) $201,000.
E) $144,000.