A corporation uses the indirect method for preparing the statement of cash flows. a fixed asset has been sold for $25,000 representing a gain of $4,500. the value in the operating activities section regarding this event would be

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Juliette Wells

Business

2 August, 22:09

A corporation uses the indirect method for preparing the statement of cash flows. a fixed asset has been sold for $25,000 representing a gain of $4,500. the value in the operating activities section regarding this event would be

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Morris · Answer 1

The operation transaction for this event will include a fixed asset plus its representing gain, which can be indicated as below.

*fixed asset + gain = new calculated asset*

$25,000 + $4,500 = $29,500

Their new calculated asset is now $29,500.