recious Inc. owns 80% of the outstanding voting common stock of Soul Co.. Previously in 2014, Soul had sold inventory costing ,800 to Precious for ,000. All but 25% of this merchandise was consumed by Precious during 2014. The remainder was used during the first few weeks of 2015. In 2015, Soul had sold inventory costing ,600 to Precious for ,000. Of this total, 40% was not consumed until 2016. What net amount of gross profits would Precious have deferred in 2015 related to Soul\u0092s sale of inventory to Precious? (Hints: there were two intra-entity transactions. And in an upstream sale, unearned gross profit must be deferred by the parent and the non-controlling interest based on their equity interest in the subsidiary) A. ,608. B. ,290. C. ,560. D. ,760. E. ,600.
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