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Pratt Company owns 80% of Sage Corporation. On January 1, 2018 Pratt sold equipment to Sage at a gain. Sage is using an eight-year straight-line

Pratt Company owns 80% of Sage Corporation. On January 1, 2018 Pratt sold equipment to Sage at a gain. Sage is using an eight-year straight-line rate with no residual value. In the consolidated income statement, Sages recorded depreciation expense on the equipment for 2018 will be reduced by what percentage.

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