Nebulus Corporation Owns 70% of the Voting Stock of Suite

Nebulus Corporation owns 70% of the voting stock of Suite Company. It reports the 30% interest in the equity section of its balance sheet at $32,000,000, and all of Suite's assets and liabilities are reported on Nebulus' balance. Nebulus acquires the remaining 30% interest for $45,000,000 in cash. At that time, the fair value of Suite's identifiable net assets was $125,000,000. As part of the acquisition entry, Nebulus records

A) A gain on acquisition of $13,000,000, in income.
B) A $45,000,000 net reduction in shareholders' equity.
C) A $32,000,000 net reduction in shareholders' equity.
D) A gain on acquisition of $45,000,000, in income.