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Required information [The following information applies to the questions displayed below.) The following information was drawn from the year-end balance sheets of Mass Trading Company:
Required information [The following information applies to the questions displayed below.) The following information was drawn from the year-end balance sheets of Mass Trading Company: Account Title Investment securities Equipment Buildings Land Year 2 $ 35,500 218,000 849,500 93,000 Year 1 $ 26, 200 216,500 944,000 56,000 Additional information regarding transactions occurring during Year 2: 1. Investment securities that had cost $5,500 were sold. The Year 2 income statement contained a loss on the sale of investment securities of $580. 2. Equipment with a cost of $52,000 was purchased. 3. The income statement showed a gain on the sale of equipment of $5,400. On the date of sale, accumulated depreciation on the equipment sold amounted to $6,500. 4. A building that had originally cost $159,000 was demolished. 5. Land that had cost $26,600 was sold for $21,600. Required a. Determine the amount of cash flow for the purchase of investment securities during Year 2. Cash flow for the purchase of investment securities
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