PT A owns 60% of PT B's outstanding common stock. Intercompany sales are as follows; In 20X1: Inventory with cost of $80,000 and sold for $100,000. Inventory remaining at year end (at transfer price) of $30,000. In 20X2: Inventory with cost of $110,000 and sold for $130,000. Inventory remaining at year end (at transfer price) of $26,000. Assume PT A sold the inventory to PT B. Using the fully adjusted equity method, what journal entry would be recorded by PT A to defer the unrealized gross profit on inventory sales to PT B in 20X1?

a. Debit to Income from PT B for $3,600 and credit to Investment in PT B for $3,600.

b. Debit to Investment in PT B for $3,600 and credit to Income from PT B for $3,600.

c. Debit to Investment in PT B for $6,000 and credit to Income from PT B for $6,000.

d. Debit to Income from PT B for $6,000 and credit to Investment in PT B for $6,000