Question
During the year, Blaylock Company sold equipment with a book value of $280,000 for $380,000 (original...
During the year, Blaylock Company sold equipment with a book value of $280,000 for $380,000 (original purchase cost of $480,000). New equipment was purchased. Blalock provided the following comparative balance sheets:
Blaylock Company
Comparative Balance Sheets
At December 31, 2013 and 2014
2013 2014
Long-Term Assets:
Plant and equipment $2,200,000 $2,150,000
Accumulated depreciation (1,200,000) (1,270,000)
Land 1,000,000 1,437,500
Required: Calculate the investing cash flows for the current year.
Homework Answers
Answer #1
The investing cash flows of the current year can be calculated as:
Thus, net cash from investing activities=-$487,500
Working notes:
1.
2.
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