Use the following information for questions.
Marcellus Corp.provided the following information for calendar 2017: Marcellus adheres to ASPE.
-The cash provided by (used in)investing activities during 2017 is
A)$40,000.
B)$(240,000).
C)$(400,000).
D)$(440,000).

Question

Use the following information for questions.
Marcellus Corp.provided the following information for calendar 2017: Marcellus adheres to ASPE. 
-The cash provided by (used in)investing activities during 2017 is
A)$40,000. 
B)$(240,000). 
C)$(400,000). 
D)$(440,000).

Quizplus · Accepted Answer

The cash provided by (used in) investing activities is determined by subtracting the cash paid for property, plant and equipment ($400,000) from the cash received from the sale of investments ($160,000) and the cash received from the sale of property, plant and equipment ($0). The calculation is as follows: $160,000 - $400,000 + $0 = $(240,000).

Use the Following Information for Questions