Psalm Enterprises owns 90% of the outstanding voting stock of Solomon Siding, which was purchased at a cost equal to 90% of the book value of Solomon's net assets many years ago. (At the time of purchase, the fair value and book value of Solomon's net assets were equal.) Psalm purchases merchandise from Solomon at 110% above Solomon's cost. In 20X4, intercompany sales from Solomon to Psalm amounted to $362,000. Unrealized profits in Psalm's December 31, 20X3 inventory and December 31, 20X4 inventory were $82,000 and $26,000, respectively, Solomon reported net income of $980,000 for 20X4. What is P's Income from S in 20X4?
