King, Inc., owns 70% of Simmon Co.'s outstanding common stock. King's liabilities total $450,000, and Simmon's liabilities total $200,000. Included in Simmon's financial statements is a $100,000 note payable to King. What amount of total liabilities should be reported in the consolidated financial statements?
Select one:
O a. $520,000
Ob. $550,000
Oc. $590,000
Od. $650,000