Solved

Connecticut,Inc Additional Information Provided by the Company Includes the Following:
1)Equipment

Question 79

Multiple Choice

Connecticut,Inc.uses the indirect method to prepare its statement of cash flows.Refer to the following portion of the comparative balance sheet:  Connecticut, Inc. Comparative Balance Sheet December 31,2019 and 201820192018 Increase/(Decrease)   Cash $27,000$18,000$9000 Accounts Receivable 34,00035,000(1000)  Merchandise Inventory 56,00025,00031,000 Plant and Equipment 126,00090,00036,00 Accumulated Depreciation-Plant  and Equipment (45,000) (43,000) 200 Total Assets $198,000$125,000$73,000\begin{array}{c}\text { Connecticut, Inc.}\\\text { Comparative Balance Sheet}\\\text { December 31,2019 and 2018}\\\begin{array}{|l|c|c|c|}\hline&2019 & 2018 & \text { Increase/(Decrease) }\\\hline \text { Cash } & \$ 27,000 & \$ 18,000 & \$ 9000 \\\hline \text { Accounts Receivable } & 34,000 & 35,000 & (1000) \\\hline \text { Merchandise Inventory } & 56,000 & 25,000 & 31,000 \\\hline \text { Plant and Equipment } & 126,000 & 90,000 & 36,00 \\\hline \begin{array}{l}\text { Accumulated Depreciation-Plant } \\\text { and Equipment }\end{array} & (45,000) & (43,000) & \underline{200} \\\hline \text { Total Assets } & \$ 198,000 & \$ 125,000 & \$ 73,000 \\\hline\end{array}\end{array} Additional information provided by the company includes the following:
1) Equipment was purchased for $69,000 with cash.
2) Equipment with a cost of $33,000 and accumulated depreciation of $7300 was sold for $46,000.
What was the amount of net cash provided by (used for) investing activities?


A) $188,000
B) $23,000
C) $(188,000)
D) $(23,000)

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents