Ask Question
BusinessBusiness
3 September, 22:03

A corporation uses the indirect method for preparing the statement of cash flows. A fixed asset has been sold for $23,649 representing a gain of $3,881. The value in the operating activities section regarding this event would be

a. $ (3,881)

b. $23,649

c. $27,530

d. $19,768

+5
Answers (1)
  1. 3 September, 23:20
    0
    a. $ (3,881)

    Explanation:

    Gain on sale of fixed assets is an income. To be included in the operating section of the cash flow statement, we need to deduct the gain. The disposal of the fixed assets will go to the investing section. As the gain of the sale of assets is already added to the net income in the income statement, it will be deducted to make the accounting procedure transparent. Therefore, option A is correct.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A corporation uses the indirect method for preparing the statement of cash flows. A fixed asset has been sold for $23,649 representing a ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Concord Company pays cash dividends of $670. The entry for this transaction will include a debit of $670 to a. Owner's Salaries Expense b. Salaries and Wages Expense c. Dividends d. Retained Earnings
Answers (1)
A key determinant of the price elasticity of supply is the
Answers (1)
Xavier and Yolanda have original investments of $50,000 and $100,000, respectively, in a partnership. The articles of partnership include the following provisions regarding the division of net income: interest on original investment at 20%;
Answers (1)
A client diagnosed with hyperthyroidism is unsure about the need for the prescribed propranolol, stating, "I looked this up online and it's for high blood pressure, not thyroid problems.
Answers (1)
Baldwin's balance sheet has $86,543,000 in equity. next year they expect assets to increase by $4,000,000 and liabilities to decrease by $2,000,000. if that happens, what will be baldwin's book value?
Answers (1)
New Questions in Business
In October 2010, the amount of money held by individuals and companies was $893.4 billion; checkable deposits owned by the same individuals and companies were $345.6 billion; money market funds were $1.9423 trillion; savings deposits were $989.
Answers (2)
A monopolist that practices perfect price discrimination a. creates no deadweight loss. b. charges one group of buyers a higher price than another group, such as offering a student discount. c.
Answers (1)
What is the best way to show a business you're interested in their job position
Answers (1)
It doesnt matter what your goal is. any idea you may create is achievable. true or false
Answers (1)
What is a system for ordering items that have little or no value at the end of a sales period? a. single-period inventory model b. rop c. production order quantity model d. eoq?
Answers (1)
Home » Business » A corporation uses the indirect method for preparing the statement of cash flows. A fixed asset has been sold for $23,649 representing a gain of $3,881. The value in the operating activities section regarding this event would be a. $ (3,881) b.
Sign Up Forgot Password?