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On January 1, year 1, Poe Corp. sold a machine for $900,000 to Saxe Corp., its wholly owned subsidiary. Poe paid $1,100,000 for this machine, which had accumulated depreciation of $250,000. Poe estimated a $100,000 salvage value and depreciated the machine on the straight-line method over twenty years, a policy which Saxe continued. In Poe’s December 31, year 1 consolidated balance sheet, this machine should be included in cost and accumulated depreciation as
Cost
Accumulated depreciation