Parket Co acquired 60% of Suket Co on 1 January 20X7.

The following extract has been taken from the individual statements of profit or loss for the year ended 31 March 20X7:

Parket Co consistently made sales of $20,000 per month to Suket Co throughout the year.

At the year end, Suket Co held $20,000 of this in inventory.

Parket Co made a mark-up on cost of 25% on all sales to Suket Co.

What is Parket Co’s consolidated cost of sales for the year ended 31 March 20X7?

A $954,000
B $950,000
C $774,000
D $766,000