Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 05 Aug 2017 My Price 4.00

losses from sales of equipment

30. Effects of gains and losses from sales of equipment on cash flows. Exhibit 6.19 presents an abbreviated statement of cash flows for Largay Corporation for the current year (amounts in thousands of US$). After preparing this statement of cash flows for the current year, you discover that the firm sold an item of equipment on the last day of the year but failed to record it in the accounts or to deposit the check received from the purchaser. The equip- ment originally cost $50,000 and had accumulated depreciation of $40,000 at the time of sale. Recast the statement of cash flows in the exhibit, assuming that Largay Corporation sold the equipment for cash in the following amounts (ignore income taxes):

a. $10,000 b. $12,000 c. $8,000

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Maurice Tutor
(5)
Status NEW Posted 05 Aug 2017 08:08 PM My Price 4.00

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