On January 1,20X9,Planet Corporation sold equipment for $400,000 to Star Corporation,its wholly owned subsidiary.Planet had paid $900,000 for this equipment,which had accumulated depreciation of $170,000.Planet estimated a $50,000 salvage value and depreciated the tractor using the straight-line method over 10 years,a policy that Star continued.In Planet's December 31,20X9,consolidated balance sheet,this tractor should be included in fixed-asset cost and accumulated depreciation as:

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The Answer of On January 1,20X9,Planet Corporation sold equipment for $400,000 to Star Corporation,its wholly owned subsidiary.Planet had paid $900,000 for this equipment,which had accumulated depreciation of $170,000.Planet estimated a $50,000 salvage value and depreciated the tractor using the straight-line method over 10 years,a policy that Star continued.In Planet's December 31,20X9,consolidated balance sheet,this tractor should be included in fixed-asset cost and accumulated depreciation as:

On January 1,20X9,Planet Corporation Sold Equipment for $400,000 to Star