Parent accounts for its 100% investment in Subs stock using the equity method. Information about parents and sub for the year 2020 is summarized.

What elimination entry should be made to the dividends account as of December 31?

Debit to dividends of $32,000

Debit to dividends of $10,000

Credit to dividends of $32,000

Credit to dividends $10,000

Parent Sub Investment$85,000 in Sub, Jan 1, 2020 Common $100,000 $50,000 Stock, Jan 1, 2020 Common $100,000 $50,000 Stock, Dec 31, 2020 Retained $175,00 $35,000 Earnings Jan 1, 12020 Retained $248,000 $50,000 Earnings Dec 31 2020 2020 Separate $80 000 Operating Income Parent Net $25 000 Income Sub Dividends $32,000 $10.000