Dunn Corporation owns 100 percent of Grey Corporation’s common stock. On January 2, 2014...

Dunn Corporation owns 100 percent of Grey Corporation’s common stock. On January 2, 2014, Dunn sold to Grey $40,000 of machinery with a carrying amount of $30,000. Grey is depreciating the acquired machinery over a 5-year remaining life by the straight-line method. The net adjustments to compute 2014 and 2015 consolidated net income would be an increase (decrease) of