Determining cash flows from investing activities The following accounts and corresponding balances


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Determining cash flows from investing activities The following accounts and corresponding balances 1 answer below » Determining cash flows from investing activities The following accounts and corresponding balances were drawn from Winston Company’s 2012 and 2011 year-end balance sheets. Account Title 2012 2011 Investment securities $102,000 $112,000 Machinery 520,000 425,000 Land 140,000 90,000 Other information drawn from the accounting records: View complete question » Determining cash flows from investing activities The following accounts and corresponding balances were drawn from Winston Company’s 2012 and 2011 year-end balance sheets. Account Title 2012 2011 Investment securities $102,000 $112,000 Machinery 520,000 425,000 Land 140,000 90,000 Other information drawn from the accounting records: Winston incurred a $2,000 loss on the sale of investment securities during 2012. Old machinery with a book value of $5,000 (cost of $25,000 minus accumulated deprecia- tion of $20,000) was sold. The income statement showed a gain on the sale of machinery of $4,000. Winston did not sell land during the year. Required Compute the amount of cash flow associated with the sale of investment securities. Compute the amount of cash flow associated with the purchase of machinery. Compute the amount of cash flow associated with the sale of machinery. Compute the amount of cash flow associated with the purchase of land. Prepare the investing activities section of the statement of cash flows. View less » Sep 01 2015 02:16 PM

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