Al Formula: Subtract; Cell Referencing 5 PROBLEM G H O F mathematical formulas with cell references to the Problem area and work area as indicated. The T accounts for equipment and accumulated depreciation for 7 Thompson Ltd. are shown here. Equipment 10 11 Jan. 1 Acquisition 80,000 40,000 Disposals 20,000 Dec. 31 100,000 14 15 Accumulated Depreciation-Equipment a. What amount was reported on the statement of cash flows as "cash provided by disposal of equipment"? Hint: Prepare the journal entry to determine the effects of the sale. Debit Credit 16 Jan 1 44,500 17 Depreciation 20,000 Disposals 5,500 19 Dec. 311 59,000 20 21 In addition, Thompson's statement of income reported the 22 following amount. 23 24 Loss on disposal of equipment $ 1,500 25 Cash provided by disposal of equipment b. In what section of the statement of cash flows would the effects of this disposal transaction be reported? Reported as an operating activity Enter Answer Reported as an investing activity 50 st 32 33 34 35 35 37 39 40 141 42 43 D E Loss on disposal of equipment $ 1,500 G H Reported as an operating activity Reported as an investing activity Reported as a financing activity O Q