On January 1, 2018, Jay Company acquired all the outstanding ownership shares of Zee Company. In assessing Zee's acquisition-date fair values, Jay concluded that the carrying value of Zee's long-term debt (8-year remaining life) was less than its fair value by $21,600. At December 31, 2018, Zee Company's accounts show interest expense of $14,440 and long-term debt of $380,000. What amounts of interest expense and long-term debt should appear on the December 31, 2018, consolidated financial statements of Jay and its subsidiary Zee? Long-term debt $401,600 $398,900 $401,600 $398,900 Interest expense $17,140 $17,140 $11,740 $11,740 a. b. C. d