Question
George Allen has just started working as an accountant for Candy Supplies. Unfortunately, the company had no proper accounting system in place and George Allen
George Allen has just started working as an accountant for Candy Supplies. Unfortunately, the company had no proper accounting system in place and George Allen had to start everything from scratch. He has been provided with some items from the company's balance sheet and income statement for the end of 2013. Going through the company's purchase receipts and some other financial documents, George Allen realized that Candy Supplies purchased $3,500 of equipment in 2013 and the balance of propety, plant and equipment and accumulated depreciation at the end of 2012 was $11,500 and $3,200 respectively.
| Accounts | 2013 |
| Property, Plant & Equipment | $12,000 |
| Accumulated Depreciation | $3,700 |
| Accounts Payable | $5,000 |
| Current Portion of Bank Loan | $18,000 |
| Retained Earnings | $8,300 |
| Depreciation Expense | $1,500 |
| Loss on Sale of Equipment | $500 |
Based on the information provided, help George Allen calculate the missing items in the table below. Do not enter dollar signs or commas in the input boxes. Use the negative sign if the Net Change is a negative value.
| Which section of the Cash Flow Statement is affected? | AnswerFinancingInvestingOperating |
| How much PPE was sold in 2013? | $Answer |
| What was the accumulated depreciation for the PPE sold? | $Answer |
| What is the book value of the PPE sold? | $Answer |
| How much cash was received from the sale? | $Answer |
| How much cash is paid out for the purchase? | $Answer |
| What is the net change in cash resulting from PPE? | $Answer |
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