On January 1, 2020, P Company acquired a 90% interest in S Company. During 2021, S Company sold merchandise to P Company at 25% above cost in the amount (selling price) of $225,000. At the end of the year, P Company had in its inventory one-third of the amount of goods purchased from S Company.

On January 1, 2021, P Company sold equipment that had a book value of $80,000 to S Company for $120,000. The equipment had an estimated remaining life of four years.

S Company reported net income of $120,000, and P Company reported net income of $300,000 from their independent operations (including sales to affiliates) for the year ended December 31, 2021.

Required:

Calculate controlling interest in consolidated net income for the year ended December 31, 2021.