42. Ralph Company owns 00% of the outstanding ordinary shares of Recto Company, which it purchased for P100,000 above the underlying hook value of 10,440,000 on December 31, 2010. For the year 2020, Recto included in its net income P100000 of unrealized gain on a pear-end sale of depreciahle assets tn Ralph. The MCI of Recto was 320,000 of income in the 2020 consolidated financial statements. The excess allocated to equipment is amortized over 20 years. The net income reported by Recto for 2020 is: Pi. 240.0000 13. 250,000 C. 300,000 D. 310,000