Sun, Inc. is a wholly owned subsidiary of Patton, Inc. On June 1, Year 4, Patton declared and paid a $1 per share cash dividend to shareholders of record on May 15, Year 4. On May 1, Year 4, Sun bought 10,000 shares of Patton's common stock for $700,000 on the open market, when the book value per share was $30. What amount of gain should Patton report from this transaction in its consolidated income statement for the year ended December 31, Year 4?

$390,000

$0

$410,000

$400,000