A subsidiary is acquired on January 1, 2023 for $10,000. The subsidiary's book value at the date of acquisition was $2,000. Following is revaluation information for the subsidiary's identifiable net assets at the date of acquisition: Fair Value Book Value inventories $ 200 FIFO, sold in 2023 Identifiable intangibles 5,000 Straightline, 5 years Goodwill recognized in the acquisition was unimpaired in 2023 but became fully impaired during 2024. The subsidiary did not declare any dividends during this period and reported no other comprehensive income. The subsidiary reported net income as follows: Year Net income 2023 $1,500 2024 5,000 2025 2,000 The parent uses the complete equity method to report its investment on its own books. it Equity in net income for 2024, reported on the parent's books, is: Select one: a. $1,200 b. $1,000 c. $2,200 d. $4,000