Parent and Subsidiary Corporations Form an Affiliated Group How Much of the Subsidiary Loss Can Be Carried Back

Parent and Subsidiary Corporations form an affiliated group.Last year,the initial year of operation,Parent and Subsidiary filed separate returns.This year.the group files a consolidated return. $$\begin{array}{l}\text { Taxable Income }\\\begin{array} { l | r | r } \hline & { \text { Last } } & { \text { Current } } \\\hline \text { Parent } & ( \$ 16,000 ) & \$ 20,000 \\\hline \text { Subsidiary } & 10,000 & ( 21,000 ) \\\hline\end{array}\end{array}$$ How much of the Subsidiary loss can be carried back to last year?

A) $0
B) $1,000
C) $10,000
D) none of the above