During the year, Hayashi, Inc. sold equipment with a book value of $125,000 for $175,000 (original purchase cost of $225,000). New equipment was purchased. Hayashi provided the following comparative balance sheets: Hayashi, Inc. Comparative Balance Sheets At December 31, 20X1 and 20X2   20X1 20X2 Long-Term Assets     Plant and equipment $1,000,000  $1,025,000  Accumulated depreciation (500,000) (525,000) Land 500,000  711,750  Required: Calculate the investing cash flows for the current year. Use a minus sign to indicate a cash outflow.

Managerial Accounting: The Cornerstone of Business Decision-Making
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ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
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Chapter14: Statement Of Cash Flows
Section: Chapter Questions
Problem 20BEA
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Cash Flows from Investing Activities

During the year, Hayashi, Inc. sold equipment with a book value of $125,000 for $175,000 (original purchase cost of $225,000). New equipment was purchased.

Hayashi provided the following comparative balance sheets:

Hayashi, Inc.
Comparative Balance Sheets
At December 31, 20X1 and 20X2
  20X1 20X2
Long-Term Assets    
Plant and equipment $1,000,000  $1,025,000 
Accumulated depreciation (500,000) (525,000)
Land 500,000  711,750 

Required:

Calculate the investing cash flows for the current year. Use a minus sign to indicate a cash outflow.
$

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