On January 1, 2016, King Company purchases 80% of the outstanding stock of Star Company at a cost of P800,000. On that date, Star Company's shareholder's equity amounted to P800,000.On April 1, 2016, King Company sold equipment with a book value of P50,000 to Star Company for P90,000. The gain included in the 2016 net income of King Company. The equipment is expected to have a remaining useful life of five years. For 2016, the net income from own operations are: King Company - P500,000 and Star Company - P262,500. King Company used the equity method to account for its investment in Star Company. For 2016, what is the balance of Investment income account in the books of King Company?*

a. P172,000

b. P176,000

c. P271,000

d. P170,000