Rodgers, Inc., owns Ferdinal Corporation. For 2009, Rodgers reports net income (without consideration of its investment in Ferdinal) of $200,000 and the subsidiary reports $80,000. The parent had a bond payable outstanding on January 1, 2009, with a book value of $212,000. The subsidiary acquired the bond on that date for $199,000. During 2009, Rodgers reported inter¬ est income $22,000 while Ferdinal reported interest expense of $21,000. What is the consolidated net income? LO4

a. $266,000.

b. $268,000.

c. $292,000.

d. $294,000.