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During 2018 equipment was sold for $79,000. This equipment cost $128,300 and had a book value...

During 2018 equipment was sold for $79,000. This equipment cost $128,300 and had a book value of $67,700. Accumulated depreciation for equipment was $339,100 at 12/31/17 and $314,200 at 12/31/18.

compute cash flow statement
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Answer #1

Answer ->

Cash Flows from operations = 79,000 - 67,700 = $11,300

Cash Flows from investing = $67,700

Total Cash Flows = $79,000

Working notes->

1. It is assumed that book value of equipment is given as of sale date. As it was not viable to calculate it from the given information. Also the Accumulated depreciation amount is too high, and not able to calculate the depreciation pertaining to this specific asset.

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