E12-13 (Algo) (Supplement B) Computing and Reporting Cash Flow Effects of Sale of Plant and Equipment (The following information applies to the questions displayed below.) During two recent years, Perez Construction, Inc., disposed of the following plant and equipment: Year 1 $ 75,800 Year 2 $15,100 Plant and equipment (at cont) Accumulated depreciation on equipment disposed of Cash received Gain (los) on sale 41,985 19,464 (14,351) 4,573 13,763 3,236 E12-13 Part 2 2. Perez uses the indirect method for the operating activities section of the cash flow statement. What amounts related to the sales would be added or subtracted in the computation of Net Cash Flows from Operating Activities for each year? (Amounts to be deducted should be indicated with a minus sign.) Year 1 Year 2 PEREZ CONSTRUCTION, INC., Cash flows from operating activities