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3 Information related to capital assets is provided for three cases: 10 points Case A Capital assets Accumulated depreciation 20X2 $ 671,000 (345,600) 20X1 $642,000
3 Information related to capital assets is provided for three cases: 10 points Case A Capital assets Accumulated depreciation 20X2 $ 671,000 (345,600) 20X1 $642,000 (381,200) $ 325,400 $260,800 eBook References The company sold an asset with an original cost of $122,000 at a loss of $8,300. Depreciation expense was $51,900. Other capital assets were acquired for cash. Case B 20X2 20X1 Capital assets $ 373,700 $ 321,000 Accumulated depreciation (124,600) (140,400) $ 249,100 $ 180,600 The company sold an asset with an original cost of $83,000 and a net book value of $20,600 for a gain of $4,000. Other capital assets were acquired for cash. Case C 20X2 20X1 Capital assets $1,200,000 $ 582,000 Accumulated depreciation (320,000) (220,800) $ 880,000 $ 361,200 The company sold an asset with an original cost of $160,000 and a net book value of $108,000 for a gain of $34,100. Capital assets of $401,200 were acquired by issuing a long-term note to the vendor for the full amount. Other capital assets were acquired for cash. Required: For each case, indicate items and amounts that would appear on the SCF, along with their classification. Assume that the operating activities section reflects the indirect presentation format. Assume that unexplained account changes result from logical transactions. (Deductible amounts and Cash outflows should be indicated with minus sign.) 3 3401,LUU were acquireu uy issuiny d long-term role to the venuor lor me lull amount. Uler Capildl dssets were acquireu lor Casti. Required: For each case, indicate items and amounts that would appear on the SCF, along with their classification. Assume that the operating activities section reflects the indirect presentation format. Assume that unexplained account changes result from logical transactions. (Deductible amounts and Cash outflows should be indicated with minus sign.) 10 points Partial Statement of Cash Flows 20X2 eBook References Case A Operating activities Add: Depreciation expense Add: Loss on sale of capital asset Investing activities: Cash on sale of capital asset Purchase of capital assets Case B: Operating activities: Add: Depreciation expense Less: Gain on sale of capital asset Investing activities: Cash on sale of capital asset Purchase of capital assets Case C Operating activities: Add: Depreciation expense Less: Gain on sale of capital asset Investing activities: Cash on sale of capital asset Purchase of capital assets
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