The following information pertains to Stem Corp.'s defined benefit pension plan for Year 1: Service cost 320,000 Actual and expected gain on plan assets 70,000 Unexpected loss on plan assets related to a Year 1 disposal of a subsidiary 80,000 Amortization of prior service cost 10,000 Annual interest on pension obligation 100,000 What amount must Stem report as pension expense in its Year 1 income statement? a. $500,000 b. $440,000 C. $420,000 d. $360,000