Assume that Sterling Company operates in England and its functional currency is the British pound (). Assume that Sterling Company reported a net income of 100,000 in year X1 and that the translation process resulted in a $50,000 translation loss. Assume that P Company operates in the U.S., but it owns 60% of Sterling's stock that was acquired on 1/1/X1 for 300,000 when Sterling's shareholders' equity had a book value of 500,000. On 1/1/X1,the exchange rate was $1.1 per pound and $1.3 per pound on 12/31/X1. The average exchange rate for year X1 was $1.2 per pound. At what value in U.S. dollars should P Company report its investment in Sterling on 12/31/X1? Select one: a. $426,000 b. $432,000 c. $452,000 d. $458,000 e. None of the Above