On January 1, 2017, a subsidiary sold equipment to its parent for $600,000. The subsidiary's original cost was $300,000 and as of January 1, 2017, $100,000 in depreciation had been recorded on the subsidiary's books. At the date of sale, the equipment had a 5-year remaining life, straight-line. It is now December 31, 2020 (4 years since the sale), and the parent still holds the equipment. How should this equipment be reported on the consolidated balance sheet and income statement? Equipment (cost) Accumulated Depreciation- Equipment Depreciation Expense Select one: A. $600,000 $260,000 $ 40,000 B. $600,000 $320,000 $ 80,000 C. $300,000 $260,000 $ 40,000 D. $300,000 $160,000 $ 60,000