38. In a statement of cash flows, a gain or loss resulting fronm classified as a(n); should be a. Operating activity b. Financing activity c. Investing activity d. Selling activity the sale of property. plant, and equipment 39. The Statement of Cash flows is useful I for investors and creditors to review because: d. Il shows a company's ability to repay its debts and pay dividends b. It shows how Net Income is closed out to Retained Earnings c. It explains how expenses and revenues are earned and re d. It describes the difference in cash based accounting and IFRS rui e. None of the above anddget of the Master Budget schedules 40. Calculate the Gain or Loss on the sale of equipment for Levato Industries, as described below: Cash proceeds from sale of equipment: $16.500 Accumulated depreciation on sold equipment: $18,000 Original Purchase price of Equipment sold this period: 535,000 a. Gain of $18,500 b. Loss of $17,000 c. Loss of $500 d. Gain of S500