Equipment Costing $10 000 Was Sold by One Entity Within

Multiple Choice

Equipment costing $10 000 was sold by one entity within a group to another for $4000. Accumulated depreciation at date of sale was $3000. The consolidation entry will contain the following adjustment to the amount of the Equipment:

A) Increase of $1000
B) Reduction of $1000
C) Increase of $3000
D) Reduction of $3000.