Gilman Company Purchased 100,000 of the 250,000 Shares of Common

Gilman Company purchased 100,000 of the 250,000 shares of common stock of Burke Corporation on January 1,2010,at $40 per share as a long-term investment.The records of Burke Corporation showed the following on December 31,2010:

$\begin{array}{lccc}\text { 2010 net income} & \$ 575,000 \\ \text { Dividends declared and paid during December, 2010 } & \$ 30,000\\\text { Market price per share} & \$ 42 \\\end{array}$
At what amount should Gilman Company report the Burke investment on the December 31,2010 balance sheet?

A) $4,218,000
B) $4,000,000
C) $4,124,000
D) $3,800,000