Quick Company Owns All of the Outstanding Shares of Peanut

Quick Company owns all of the outstanding shares of Peanut Ltd. During the year, Peanut Ltd. declared and paid a dividend of $10,000. The tax rate is 30% for both entities. In preparation for the year-end consolidated financial statements, what are the consolidated financial statement adjustments required?

A) Decrease Dividend Revenue: $10,000, decrease Dividend Declared and Paid: $10,000, decrease Income Tax Expense: $3,000, and decrease Income Tax Payable: $3,000.
B) Increase Dividend Revenue: $10,000, increase Dividend Declared and Paid: $10,000, increase Income Tax Expense: $3,000, and increase Income Tax Payable: $3,000.
C) Decrease Dividend Revenue: $10,000, decrease Dividend Declared and Paid: $10,000.
D) Increase Dividend Revenue: $10,000, increase Dividend Declared and Paid: $10,000.