Apple company established a subsidiary and transferred equipment with a fair value of $72,000 to the subsidiary. apple had purchased the equipment with an expected life of 10 years 4 years earlier for $100,000 and has used straight-ime depreciation with no expected residual value. at the time of the transfer, the subsidiary should record:
a. equipment at $72,000 and no accumulated depreciation.
b. equipment at $60,000 and no accumulated depreciation,
c.equipment at $100,000 and accumulated depreciation of $40,000.
d. equipment at $120,000 and accumulated depreciation of $48,000.