Required information [The following information applies to the questions displayed below.) The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Year 2 Investment securities $ 105,600 Machinery Land 524,600 140,900 Year 1 $ 113,600 427,600 101,000 Other information drawn from the accounting records: 1. Delsey incurred a $1,210 loss on the sale of investment securities during Year 2. 2. Old machinery with a book value of $4,500 (cost of $25,160 minus accumulated depreciation of $20,660) was sold. The income statement showed a gain on the sale of machinery of $4,900. 3. Delsey did not sell land during the year. . Compute the amount of cash flow associated with the sale of machinery. Amount of cash flow

Required information [The following information applies to the questions displayed below.) The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Year 2 Investment securities $ 105,600 Machinery Land 524,600 140,900 Year 1 $ 113,600 427,600 101,000 Other information drawn from the accounting records: 1. Delsey incurred a $1,210 loss on the sale of investment securities during Year 2. 2. Old machinery with a book value of $4,500 (cost of $25,160 minus accumulated depreciation of $20,660) was sold. The income statement showed a gain on the sale of machinery of $4,900. 3. Delsey did not sell land during the year. . Compute the amount of cash flow associated with the sale of machinery. Amount of cash flow

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.23E: Unusual income statement items Assume that the amount of each of the following items is material to...

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