A subsidiary is acquired on January 1, 2016 at an acquisition cost of $100 million. The subsidiarys book value at the date of acquisition was $25 million, consisting of these accounts: Capital stock $ 8,000,000 Retained earnings 18,000,000 Accumulated other comprehensive loss (1,000,000) Following is revaluation information for the subsidiarys identifiable net assets at the date of acquisition: Fair Value Book Value Plant assets, net $40,000,000 $25,000,000 Straight-line, 5 yrs Identifiable intangible assets 60,000,000 0 Straight-line, 6 yrs It is now December 31, 2017. The subsidiary reported the following amounts during the period 2016-2018: 2016 2017 2018 Net income $12,000,000 $10,000,000 $15,000,000 Other comprehensive income (loss) 300,000 (160,000) 125,000 The subsidiary did not declare any dividends during this period. Goodwill for this acquisition is not impaired as of the end of 2018. The parent uses the complete equity method to report its investment on its own books. Required Calculate equity in net income, reported on the parents books, for 2017.