Button-quail Corporation owned a 70% interest in Savannah Corporation at December 31, 2006, and Button-quail's Investment in Savannah account had a balance of $3,900,000. Savannah stockholders' equity on this date was as follows:

Capital stock, $10 par value...............................................$3,000,000

Retained Earnings............................................................ 2,400,000

Total Stockholders' Equity..................................................$5,400,000

On January 1, 2007, Savannah issues 80,000 new shares of common stock to Button-quail for $16 each. Question: What is Button-quail's percentage ownership in Savannah after Savannah issues its stock to Button-quail?

a. 76.32%

b. 80.43%

c. 82.57%

d. 83.43%