Required information Portland Inc. (Portland) owns 80\% of Seattle Inc. (Seattle) and uses the cost method to account for its investment. The 2023 income statements of both companies are shown below. On January 1, 2023, Seattle acquired equipment for $7,000 and sold it the same day to Portland for $12,000. The equipment had a remaining useful life of 10 years on that date. Both companies are subject to an effective tax rate of 40%. nich of the following is the correct amount of gross profit appearing on Portland's 2023 consolidated income statement? Which of the following is the correct amount of depreciation expense appearing on Portland's 2023 consolidated income statement? Multiple Choice $34,700 $34,850 $34,500 $35,000