Cine Creation sold plant assets at a $ 16 comma 000 loss. Where on the statement of cash flows should Cine Creation report the s

Question

OlgaM077 [116]

3 years ago

12

Cine Creation sold plant assets at a $ 16 comma 000 loss. Where on the statement of cash flows should Cine Creation report the s

ale of plant assets? How much should the business report for the sale?

Business

1 answer:

Vanyuwa [196] · Answer 1 · 2021-11-16T02:48:23+03:00

Answer:

1. On the statement of cash flow record the sale of the asset under the investment section.

2. -$16,000

Explanation:

In Cash flow Statements every asset purchases and sales are viewed as investments, so you record asset sales in the investment section of the cash flow.

Therefore the exact value of the sales is recorded.