Brian Company sold equipment that originally cost $100,000 and accumulated depreciation in the amount of $75,000 for $28,000 cash. What amount is reported in the Cash Flows from Operating Activities section of the Statement of Cash Flows for the sale of this equipment when using the indirect method?

$3,000

($3,000)

$28,000

$0

Chattel Company sold equipment that originally cost $38,000 and accumulated depreciation in the amount of $32,700 for $7,200 cash. What amount is reported in the Cash Flows from Financing Activities section of the Statement of Cash Flows for the sale of this equipment?

$3,400

$0

$1,900

$32,700

Which of the following is not a type of operating expense that would be included on a departmental income statement?

direct expense

indirect expense

tangential expense

semidirect expense

Eliminating a department that has a negative contribution margin would result in _________ net income for the company than if the department were not eliminated.

the same

higher

lower

either higher or lower

Which of the following would not appear as a line item on the Income Statement for a manufacturing concern?

cost of goods sold

direct labor

cost of goods manufactured

beginning finished goods inventory

The following information appears on the Statement of Cost of Goods Manufactured for the Coleman Company at the end of the year.

Raw Materials Used $ 51,000

Manufacturing Overhead 61,200

Total Manufacturing Costs 172,000

Work in Process Inventory, January 1 10,500

Cost of Goods Manufactured 151,500

The balance in Work in Process Inventory at year-end is: