Terry Corporation acquired 80 percent of Vegas Company's stock on January 1, 20x5. At the acquisition date, Vegas had the following account balances.

Book Value Market Value Remaining Life

Cash and Receivables P 50,000 P 50,000 3 months

Inventory 160,000 200,000 5 months

Plant Assets (net) 450,000 550,000 10 years

Liabilities 300,000 280,000 5 years

Common Stock 20,000

Retained Earnings 340,000

Vegas has income of P150,000 and pays dividends of P60,000 during 20x6. Assuming there is no goodwill impairment, what is the amount of investment income (using cost method) on Terry Corporation's financial records for 20x6?

a.P76,800

b.P108,800

c.P115,200

d.P140,800