a truck that originally cost 40,000 was sold for 10,000 cash. Accumulated depreciation up to the date of the sale was 36000. A 6000 gain was reported on the income statement.What if the effect on the statement of cash flow cash inflow 40000 from sale of truck investing 36000 depreciation added to cash from operating, gain ignored 4000 added to cash from operating 6000 subtracted from cash from operating 10,000 inflow from sale added to cash from investing 4000 depreciation added to cash from operating 10,000 added to cash from operating 40,000 subtracted from cash from financing 10,000 increasing cash from investing 6000 gain subtracted from cash from operating (net income)

a truck that originally cost 40,000 was sold for 10,000 cash. Accumulated depreciation up to the date of the sale was 36000. A 6000 gain was reported on the income statement.What if the effect on the statement of cash flow cash inflow 40000 from sale of truck investing 36000 depreciation added to cash from operating, gain ignored 4000 added to cash from operating 6000 subtracted from cash from operating 10,000 inflow from sale added to cash from investing 4000 depreciation added to cash from operating 10,000 added to cash from operating 40,000 subtracted from cash from financing 10,000 increasing cash from investing 6000 gain subtracted from cash from operating (net income)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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