Pan Corporation owns an 80 percent interest in Sol Company and Sol owns a 30 percent interest in Pan, both acquired at a fair value equal to book value. Separate incomes (not including investment income) of the two affiliates for 2016 are:
Pan ............... $6,000,000
Sol ................. $3,000,000
REQUIRED:
Compute controlling share of consolidated net income for 2016 using the conventional (equation) approach.