In 2025, a textbook written by Blossom Co. personnel was sold to Ivanhoe Publishing, Inc. for royalties of 5% on sales. Royalties are receivable semiannually on March 31, for sales in July through December of the prior year, and on September 30, for sales in January through June of the same year. Royalty income of $113000 was accrued at 12/31/25 for the period July- December 2025. Royalty income of $140000 was received on 3/31/26, and $221000 on 9/30/26. Blossom learned from Ivanhoe that sales subject to royalty were estimated at $4210000 for the last half of 2026.

In its income statement for 2026, Blossom should report royalty income at

O $458500. O $242500. O $361000. O $431500.