Cash Flows from Investing ActivitiesCash Flows from Financing Activities

Murray Company earned net income of $$450,000$ in $202.$ Murray provided the following information:

Murray Company

Comparative Balance Sheets

At December $31,201$ and $202$

Required:

Compute the financing cash flows for the current year. Use a minus sign to indicate a cash outflow.

During the year, Murray Company sold equipment with a book value of $$125,000$ for $$175,000($original purchase cost of $$225,000).$ New equipment was purchased.

Murray provided the following comparative balance sheets:

Murray Company

Comparative Balance Sheets

At December $31,20$X$1$ and $20$X$2$

$201,202$

Long$-$Term Assets

Plant and equipment $$1,000,000$$$1,025,000$

Accumulated depreciation $,(500,000),(525,000)$

Land $500,000,720,750$

Required:

Calculate the investing cash flows for the current year. Use a minus sign to indicate a cash outflow.

$!$