King Corporation owns 80 percent of Lee Corporation's common stock. During October, Lee sold merchandise to King for $100,000. At December 31, 50 percent of this merchandise remains in King's inventory. Gross profit percentages were 30 percent for King and 40 percent for Lee. The amount of unrealized intra-entity profit in ending inventory at December 31 that should be eliminated in the consolidation process is $15,000 $20,000 $16,000 $40,000