On 1 July 2018 Morrison Ltd purchased an 80% controlling interest in Wright Ltd for a consideration of $350,000. On that date the pre-control equity of Wright consisted of: $200 000 Paid up capital Retained profits $150 000 General reserve $ 50 000 Total equity $400 000 The net assets of Wright Ltd were recorded at fair values. Relevant financial data for the two companies, for the year ending 30 June 2020, is provided on the worksheet below. Further information: During May 2019 Wright Ltd sold inventory to Morrison Ltd at a profit of $15,000. This inventory was sold by Morrison Ltd to external parties during the month of July 2019. On 30 June 2020 Morrison Ltd purchased from Wright Ltd an item of equipment for $40,000. The equipment has a cost of $90,000 and a carrying amount of $28,000. The equipment has a remaining useful life of 4 years and a residual value of zero. Consolidation worksheet as at 30 June 2020 Morrison Wright Sum Eliminations Group Allocation DR CR NCI Parent Sales 700 000 300 0001 000 000 Cost of sales 520 000 140 000 660 000 Gross profit 180 000 160 000 340 000 Interest revenue 7 000 7 000 Other revenues 19 200 7 500 26 700 12 000 12 000 Gain on sale of equipment Interest expense 7 000 7 000 Other expenses 64 200 37 000 101 200 Net profit 142 000 135 500 277 500 ??? Retained profits 1 July 620 000 225 000 845 000 2019 I REQUIRED How much retained profit 1 July 2019 will be allocated to NCI? Select one: O A. $42,000 O B. $45,000 O C. $27,100 O D. $39,600