Division X is a held-for-sale component unit of ABC Company. At year-end, ABC Company calculated the expected pretax loss on Division X at $40,000. The journal entry at year-end to record this loss would include a

a. $40,000 debit to Loss on Write-Down of Held-for-Sale Division X.

b. $40,000 debit to Retained Earnings.

c. $40,000 debit to Assets of Division X.

d. $40,000 credit to Loss on Write-Down of Held-for-Sale Division X.