Business, 14.05.2021 01:40 loroloco71
Reporting changes in Equipment on Statement of Cash Flows An analysis of the general ledger accounts indicates that delivery equipment, which cost $200,000 and on which accumulated depreciation totaled $60,000 on the date of sale, was sold for $132,500 during the year. Using this information, indicate the items to be reported on the statement of cash flows.
Transaction Section of Statement Added or Deducted
of Cash Flows
$200,000 cost of equipment Not shown on statement Not applicable
$60000 accumulated
depreciation Not shown on statement Not applicable
$132,500 sales price Cash flows from investing
activities Added
$7,500 loss on sale of equipment
(assume the indirect method
is used) Cash flows from operating
activities Added
Answers: 2
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Reporting changes in Equipment on Statement of Cash Flows An analysis of the general ledger accounts...
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