Charlene Company sold a printer with a cost of $68,000 and accumulated depreciation of $23,000 for $20,000 cash.This transaction would be reported as:
A)An operating activity.
B)An investing activity.
C)A financing activity.
D)None of these answer choices is correct.

Question

Quizplus · Accepted Answer

This transaction is an investing activity because it involves the sale of a long-term asset (the printer) for cash, which is a characteristic of investing activities in the statement of cash flows.

Charlene Company Sold a Printer with a Cost of $68,000