Requirements 1. Explain how to determine whether Sun Heating had a gain or loss on the sale of old equipment during the year. What was the amount of the gain or loss, if any? 2. How will Sun Heating report property, plant, and equipment on the balance sheet at December 31, 2017, after all the year's activity? What will the carrying amount of property plant, and equipment be? 3. How will Sun Heating report its operating activities and investing activities on its statement of cash flows for 2017? The company's statement of cash flows starts with net income. Print Done At the end of 2016, Sun Heating Ltd. had total assets of $17.2 million and total liabilities of $9.1 million. Included among the assets were property, plant, and equipment with a cost of $4.9 million and accumulated depreciation of $2.7 million. Assume that Sun Heating completed the following selected transactions during 2017. The company earned total revenues of $26.6 million and incurred total expenses of $21.5 million, which included depreciation of $1 million. During the year, Sun Heating paid $2.1 million for new equipment and sold old equipment for $1 million. The cost of the assets sold was $1.5 million, and their accumulated depreciation was $1.1 million. Requirements Requirement 1. Explain how to determine whether Sun Heating had a gain or loss on the sale of old equipment during the year. What was the amount of the gain or loss, if any? Start by selecting the formula, and then enter the amounts to calculate the gain or loss, if any. (Enter amounts in millions. Use a minus sign or parentheses for a loss.) = Gain (Loss) on sale Requirement 2. How will Sun Heating report property, plant, and equipment on the balance sheet at December 31, 2017, after all the year's activity? What will the carrying amount of property, plant, and equipment be? (Enter amounts in millions.) Balance Sheet at December 31, 2017: All amounts in millions Less: Requirement 3. How will Sun Heating report its operating activities and investing activities on its statement of cash flows for 2017? The company's statement of cash flows starts with net income. Begin by showing how Sun Heating would report its operating activities on its statement of cash flows for 2017, ignoring gains and losses. (Enter amounts in millions.) All amounts Statement of Cash Flows for 2017: in millions Cash Flows from Operating Activities: Lastly, show how Sun Heating would report its investing activities on the statement of cash flows for 2017. (Enter amounts in millions. Use parentheses or a minus sign for numbers to be subtracted.) Statement of Cash Flows for 2017: All amounts in millions Cash Flows from Investing Activities