A machine with a cost of $176,000, accumulated depreciation of $108,000, and current year depreciation expense of $28,500 is sold for $58,400 cash. the amount that should be reported as a source of cash under cash flows from investing activities is:

Question

Frances Garrison

Business

6 December, 13:05

A machine with a cost of $176,000, accumulated depreciation of $108,000, and current year depreciation expense of $28,500 is sold for $58,400 cash. the amount that should be reported as a source of cash under cash flows from investing activities is:

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Azaria · Answer 1

58,400 minus 28,500, which equals 29,900 dollars, which is what should be reported, because the amount which should be reported as a source of cash under cash flows from investing activities is the amount it is sold for minus the current year depreciation.