On January 1, 20X5, Seaside Company acquires 90 percent ownership in Rainbow Corporation for $180,000. The fair value of the noncontrolling interest at that time is determined to be $20,000. Rainbow reports net assets with a book value of $160,000 and fair value of $175,000. Seaside Company reports net assets with a book value of $480,000 and a fair value of $525,000 at that time, excluding its investment in Rainbow. What will be the amount of goodwill that would be reported immediately after the combination?

A. $5,000

B. $20,000

C. $25,000

D/ $40,000