Reporting changes in equipment on statement of cash flows An analysis of the general ledger accounts indicates that office equipment, which cost $280,000 and on which accumulated depreciation totaled $153,900 on the date of sale, we sold for $108,200 during the year. Using this information, indicate the items to be reported on the statement of cash flows. Transactions Section of Statement of Cash Flows $280,000 cost of office equipment $153,900 accumulated depreciation $108,200 sales price $17,900 loss on sale of equipment (assume the Indirect method is used) Feedback Added or Deducted Check My Work How much cash was received from the sale, and what kind of cash flow activity would this be? Cash flows from operating activities result from transactions that affect net income. Cash flows from investing activities result from purchase or sale transactions of noncurrent assets. Cash flows from financing activities result from the issuance or retirement of debt and equity.
Reporting changes in equipment on statement of cash flows An analysis of the general ledger accounts indicates that office equipment, which cost $280,000 and on which accumulated depreciation totaled $153,900 on the date of sale, we sold for $108,200 during the year. Using this information, indicate the items to be reported on the statement of cash flows. Transactions Section of Statement of Cash Flows $280,000 cost of office equipment $153,900 accumulated depreciation $108,200 sales price $17,900 loss on sale of equipment (assume the Indirect method is used) Feedback Added or Deducted Check My Work How much cash was received from the sale, and what kind of cash flow activity would this be? Cash flows from operating activities result from transactions that affect net income. Cash flows from investing activities result from purchase or sale transactions of noncurrent assets. Cash flows from financing activities result from the issuance or retirement of debt and equity.
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter15: Statement Of Cash Flows
Section: Chapter Questions
Problem 8E: Reporting changes in equipment on statement of cash flows An analysis of the general ledger accounts...
Related questions
Question
3
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,