During the year ended December 31, 2023, Epic Company sold equipment for $54,500 cash. The equipment was originally purchased for $139,000 and, at the date of sale, accumulated depreciation on the equipment was $94,000. What is the amount Epic should report as a source of cash in the investing activities section of its statement of cash flows for the year ended December 31, 2023?

Multiple Choice

Zero. This is an operating activity.

$54,500.

$45,000.

Zero. This is a financing activity.

$9,500.