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Seters Construction Company purchased a compressor for $118.400 cash it had an estimated useful life of four years and a $9.700 salvage value. At the
Seters Construction Company purchased a compressor for $118.400 cash it had an estimated useful life of four years and a $9.700 salvage value. At the beginning of the third year of use, the company spent an additional $8,070 related to the equipment The company's financial condition just prior to this expenditure is shown in the following statements model Equity Netine Cash Flow Compressor 64,050 Com. st 23 300 Red. Eam. 54,550 - NA - Required Record the $8.070 expenditure in the statements model under each of the following independent assumptions in the Cash Flow column, use the initial "OA" for operating activities, "FA" for financing activities, and "IA" for investing activity, Enter any decreases to account balances with a minus sign. Not all cells in the "Cash Flow" column may require an input leave cells blank if there is no corresponding input needed) The expenditure was for routine maintenance b. The expenditure extended the compressor's e. The expenditure Improved the compressor's operating capacity - Stockholders' Equity Common Cash Book Value of Compressor
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