The following data are from a company's Automobile and the Accumulated DepreciationAutomobile accounts:

The old auto was traded for a new one, with the difference in values paid in cash. The income statement for the year shows a loss on the exchange of autos of \(\$ 1,200\).
Indicate the dollar amounts, the descriptions of these amounts, and their exact locations in a statement of cash flows-indirect method.

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Automobile Date Debit Credit Balance Jan. 1 July 1 Balance brought forward Traded for new auto 16,000 16,000 -0- New auto.. 31,000 31,000 Accumulated Depreciation-Automobile Jan. 1 Balance brought forward July 1 One-half year's depreciation. Auto traded. Dec. 31 One-half year's depreciation. 12,000 2,000 14,000 14,000 -0- 4,000 4,000