Prybylos,Inc., owns 90 % of Station Corporation. Both companies have been profitable for many years. During the current year, the parent sold for $100,000 merchandise costing $70,000 to the subsidiary, which still held 20% of this merchandise at the end of the year. Assume that the tax rate is 25 % and separate tax returns are filed. What deferrred income tax asset is created?
A. 0
B. $300
C.$1,500
D. $7,500