5. On January 1,2010,Nikon Co. purchased 25% of Ace Corp.'s common stock; no goodwill resulted from the purchase. Nikon appropriately carries this investment at equity and the balance in Nikon,s investment account was $720,000 at December 31, 2010. Ace reported net income of $450,000 for the year ended December 31, 2010,and paid common stock dividends totaling $180,000 during 2010. How much did Nikon for its 25% interest in Ace? (A) $652,500 (B)
$765,000 (C) $787,500 (D) $877,500