Preparing the [I] consolidation entries for sale of depreciable assets-Equity method Assume that on lanuary 1,2019, a parent sells to its wholy owned subsidiary. for a sale price of $2.43,000, equipment that onginaly cost $276000. The parent ongigaty purchased the equipment on january 1, 2015, and depreciated the equipment assuming a 10-year useful life (atraighteline with no salvage va yel The subsidiary has adopted the parent? depreciation policy and depreciates the equipment over the remaining useful life of 6 years. The parent uses the equity method to account for its Equity investment a. Compute the annual pre consolidation depreciation experse for the subsid ary (post intercompany sale) and the parent ipre intercompany salel Subsidiary-depreciations Parent - depreciation 3 b. Compute the preconsolidatian Gain on sale recognuted by the parent during 2019