Alpha Works Inc. sold machinery with a cost of $30,000 and accumulated depreciation of $10,000. The sale resulted in a gain of $6,000. What amount should be reported on the cash flow statement as "Proceeds from sale of plant assets"?

Alpha Works Inc. sold machinery with a cost of $30,000 and accumulated depreciation of $10,000. The sale resulted in a gain of $6,000. What amount should be reported on the cash flow statement as "Proceeds from sale of plant assets"?

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter8: Investing Activities

Section: Chapter Questions

Problem 1.3AIC: Estimate the average total estimated useful life of depreciable property, plant, and equipment....

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Question

General Accounting Question

Alpha Works Inc. sold machinery with a cost of $30,000
and accumulated depreciation of $10,000. The sale
resulted in a gain of $6,000.
What amount should be reported on the cash flow
statement as "Proceeds from sale of plant assets"?

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