Payne Company owns all the outstanding common stock of Sierra Company and 80% of the outstanding common stock of Santa Fe Company. The amount of intercompany profit included in the inventories of Payne Company on December 31, 2019, and December 31, 2020, is indicated here:

The three companies reported net income from their independent operations (including sales to affiliates) for the year ended December 31, 2020, as follows:

Payne Company...........................$280,000

Sierra Company.............................172,000

Santa Fe Company.........................120,000

Required:

Calculate the controlling interest in consolidated net income for the year ended December 31, 2020.

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Intercompany Profit on Goods Purchased From Sierra Santa Fe Total Company Company Inventory, 12/31/19 Inventory, 12/31/20 $3,800 4,800 $8,400 $4,600 2,300 7,100