Consolidation – Revision kit

Dear Tutor
While I was doing the BPP Revsion Kit, I had trouble with a question and I found the topic has been raised in this forum 2 years ago. The member harry1904 asked you:

“Dear Tutor,

Please help me check 2 questions in Revision kit F3 – BPP (2016), I think they maybe gave the wrong answer for 2 questions.

1/ Question 26.25/ p126 Revision kit F3 – BPP (2016)

X Co acquired 80% of the equity share capital in Y Co on 31 July 20X6. Extracts from the 2 companies’ statement of profit or loss for the year ended 30 September 20X6 were as follows:

Revenue (X Co) = 3.4 million Cost of sales (X Co) = 1.5 million
Revenue (Y Co) = 2.4 million Cost of sales (Y Co) = 1.8 million

During the year ended 30 September 20X6, Y Co sold goods for $5,000 each month to X Co, at a mark up of 25%. At the end of the year X Co had 50% of these goods left in inventory.
What is the group profit for the year ended 30 September 20X6?
A. 1.901 million
B. 2.001 million
C. 2.004 million
D. 1.904 million

BPP’s answer:
“unrealised profit = $1,000 for 2 months: August, September
Total revenue = (3,400 + 400 – 10) = 3,790
Total cost of sales = (1500 + 300 – (10+1)) = 1,789

Group profit = 3,790 – 1,789 = 2,001 => B is his answer”

My answer:
“unrealised profit = $1,000 for 2 months: August, September
Total revenue = (3,400 + 400 – 10) = 3,790
Total cost of sales = (1500 + 300 – (10)+1) = 1,791

Group profit = 1,999 => No corrected answer in this question”

You confirmed that his answer was right and BPP made a mistake. However, according to what I’ve learned, when a subsidiary sells goods to the parents, the unrealised profit should be split between the parents and NCI, as the result, the profit of subsidiary to be consolidated should be 800 (80% x 1000) instead of the total amount of 1000.

Am I right? Could you please give me an explanation of this problem if my point is wrong? Thank you