Investor owns 30% of Investee and applies the equity method. In 2020, Investor sells merchandise costing $240,000 to Investee for $300,000. Investee's ending inventory includes $50,000 purchased from Investor. What amount of unrealized gross profit must be deferred in the equity method entry?

Select one:

A. $50,000

B. $10,000

C. $ 3,000

D. $15,000