on january 1 2016 ashland company purchases a 25 interest in cramer company for 195000 ashland company prepares the following/

The following additional information is available:
a. Cramer Company sells a machine to Ashland Company for $30,000 on July 1, 2017. At this date, the machine has a book value of $25,000 and an estimated future life of five years. Straight-line depreciation (to the nearest month) is being used. For income tax purposes, the gain on the sale is taxable in the year of the sale.
b. The following applies to Ashland Company sales to Cramer Company for 2017 and 2018: