Indicate how each of the following transactions would affect Holding Ltd.’s statement of income, statement of financial position, and statement of cash flows. If there would be no effect, then state that.

a. Holding sold a piece of equipment for $37,000. The equipment had originally cost $164,000 and had a carrying amount of $45,000 at the time it was sold.

b. Holding purchased a new piece of equipment to replace the equipment that had been sold. The new equipment had a cost of $218,000.

c. Holding recorded the annual depreciation on its equipment in the amount of $129,000.