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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
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, 20X1 and 20X2 | ||
20X1 | 20X2 | |
Long-Term Assets | ||
Plant and equipment | $1,000,000 | $1,025,000 |
Accumulated depreciation | (500,000) | (525,000) |
Land | 500,000 | 741,750 |
Required:
Calculate the investing cash flows for the current year. Use a minus sign to indicate a cash outflow. $
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