Assume that a parent company owns a 100% controlling interest in its long-held subsidiary. During the year ended December 31, 2016, the parent and subsidiary had "stand alone" (i.e., before any equity method adjustments) pre-consolidation income equal to $240,000 and $128,000, respectively. During the year ended December 31, 2015, the parent sold $50,000 of merchandise to the subsidiary. During the year ended December 31, 2016, the parent sold $40,000 of merchandise to the subsidiary. On December 31, 2015 and 2016, the subsidiary's ending inventory included $12,000 and $9, 600, respectively, of merchandise purchased from the parent. The parent company realizes profits of 30% of selling price on intercompany transactions. What is the amount of the parent's consolidated net income for the year ending December 31, 2016? $370, 400 $368, 720 $368,000 $367, 280