4. On January 1, Pop Company paid $600,000 for 20,000 shares of Son Company’s common stock, which represents a 15 percent investment in Son. Pop does not have the ability to exercise significant influence over Son. Son declared and paid a dividend of $2 per share to its stockholders during the year. Son reported net income of $520,000 for the year ended December 31. The balance in Pop’s balance sheet account “Investment in Son Company” at December 31 should be:

a $560,000 b $600,000 c $638,000 d $678,000