Dunn Corporation owns 100 percent of Grey Corporation's common stock. On January 2, 2017, Dunn sold to Grey $49,950 of machinery with a carrying amount of $37,500. Grey is depreciating the acquired machinery over a five-year remaininglife by the straight-line method. The net adjustments to compute 2017 and 2018 consolidated net income would be an increase (decrease) of

a. 2017= (122450) 2018= 2490

b. 2017= (122450) 2018= 0

c. 2017= (9960) 2018= 2490

d. 2017= (9960) 2018= 0