Stark Company, a 90% Owned Subsidiary of Parker, Inc

Multiple Choice

Stark Company, a 90% owned subsidiary of Parker, Inc. sold land to Parker on May 1, 2012, for $80,000. The land originally cost Stark $85,000. Stark reported net income of $200,000, $180,000, and $220,000 for 2012, 2013, and 2014, respectively. Parker sold the land purchased from Stark in 2012 for $92,000 in 2014.
Compute income from Stark reported on Parker's books for 2014.

A) $204,300.
B) $202,500.
C) $193,500.
D) $191,700.
E) $198,000.