Question 24 At the beginning of Year 1. ABC Company purchased a piece of equipment for $1,200. This equipment was expected to last 10 years at which time ABC hoped to sell the equipment for $200. At the beginning of Year 11. ABC Company sold the equipment for $400. ABC Company uses the straight line depreciation method. When the Year 1 Depreciation Expense is recognized, Cash Flows from Investing Activities will: not be affected. increase $100 decrease $100 change by more than $100. Question 23 At the beginning of Year 1 . ABC Company purchased a piece of equipment for $1,800. This equipment was expected to last 10 years at which time ABC hoped to sell the equipment for $600. At the beginning of Year 11 . ABC Company 50 d the equipment for $300.ABC Company uses the straight line depreciation method. When the Year 1 Depreciation Expense is recognized. Total Assets will: increase by $120 decrease by $120 change by more than $120. remain the same