QUESTION 20

1. Giant owns 100% of Small. At the start of the year, there were no items from intercompany sales in either companys inventory. During the year, Small sold goods to Giant for $5,000,000 that cost Small $4,000,000. Giant still owned 30% of the goods at the end of the year. Cost of goods sold was $23,000,000 for Giant and $7,000,000 for Small. What was consolidated cost of goods sold?

   	a.	30,000,000.
   	b.	$25,000,000
   	c.	$26,000,000.
   	d.	$25,300,000.