Parent sold land to its subsidiary resulting in a gain in 2016, the year of transfer.The subsidiary sold the land to an unrelated third party for a gain in 2019.Which

Parent sold land to its subsidiary resulting in a gain in 2016, the year of transfer.The subsidiary sold the land to an unrelated third party for a gain in 2019.Which of the following statements is true?
A) A gain will be recognized in the consolidated income statement in 2016.
B) A gain will be recognized in the consolidated income statement in 2019.
C) No gain will be recognized in the 2019 consolidated income statement.
D) Only the parent company will recognize a gain in 2019.
E) The subsidiary will recognize a gain in 2016.


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