Referring to question 3 on cash flow, assume you completed the cash flow statement and then learned that the following transaction had occurred during the year: On the last day of the year, a machine was sold. Prior to its sale the machine was recorded at cost = $300,000 and accumulated depreciation = $275,000. Depreciation expense had been recorded for the entire year. The maching was sold for $45,000 and a gain of $20,000 was recorded in income. Required: In the space below indicate the effect this transaction has on operating, investing and financing cash flows. Indicate the dollar amount of the effect, positve if it increases operating, investing, or financing cash flow, negative if ite reduces those cash flows. If it has no effect, indicate 0. Effect on operating cash flows: Effect on investing cash flows: Effect on financing cash flows: Possible extra credit: If you are the accounting manager (or assistant controller, someone with authority), what step could you take to assure that something like this (the machine sale) doesn't happen again. How could you ensure that a transaction like that would be reported to financial reporting, the individual who prepares the cash flow statement? Not a long answer, in this box.