If a company sells equipment with accumulated depreciation totaling $4,200 and an original cost of $5,100, for a loss of $400, what amount will appear in the investing activities section of the statement of cash flows?

Question

Quizplus · Accepted Answer

The cash inflow from the sale is the selling price, which is the original cost ($5,100) minus accumulated depreciation ($4,200) minus the loss ($400), resulting in a $500 inflow.

If a Company Sells Equipment with Accumulated Depreciation Totaling $4,200