Statement of Cash Flows, Investing Activities. The following were taken from the records of CEBU Company on December 31, 2021 regarding its non-current assets: (1) Equipment EQUIPMENT Particulars Debit Credit January 1, 2021 - Beginning balance May 31, 2021 - Acquisition October 31, 2021 – Disposal 440,000 260,000 P 100,000 ACCUMULATED DEPRECIATION – EQUIPMENT Particulars Debit Credit January 1, 2021- Beginning balance October 31, 2021 - Disposal December 31, 2021 – Depreciation expense 140,000 60,000 120,000 In addition, on the income statement of CEBU, a gain on sale of equipment amounting to P5,000 was presented. (2) Investments in Associates INVESTMENT IN ASSOCIATES Particulars Debit Credit January 1, 2021 – Beginning balance March 31, 2021 - Acquisition July 31, 2021 - Disposal December 31, 2021 – Share in net income December 31, 2021 – Dividends received 1,200,000 960,000 500,000 P 290,000 120,000 In addition, on the income statement of CEBU, a loss on sale of investment amounting to P45,000 was presented.
Statement of Cash Flows, Investing Activities. The following were taken from the records of CEBU Company on December 31, 2021 regarding its non-current assets: (1) Equipment EQUIPMENT Particulars Debit Credit January 1, 2021 - Beginning balance May 31, 2021 - Acquisition October 31, 2021 – Disposal 440,000 260,000 P 100,000 ACCUMULATED DEPRECIATION – EQUIPMENT Particulars Debit Credit January 1, 2021- Beginning balance October 31, 2021 - Disposal December 31, 2021 – Depreciation expense 140,000 60,000 120,000 In addition, on the income statement of CEBU, a gain on sale of equipment amounting to P5,000 was presented. (2) Investments in Associates INVESTMENT IN ASSOCIATES Particulars Debit Credit January 1, 2021 – Beginning balance March 31, 2021 - Acquisition July 31, 2021 - Disposal December 31, 2021 – Share in net income December 31, 2021 – Dividends received 1,200,000 960,000 500,000 P 290,000 120,000 In addition, on the income statement of CEBU, a loss on sale of investment amounting to P45,000 was presented.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 41E: Determining Cash Flows from Investing Activities Burns Companys 2019 and 2018 balance sheets...
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INVESTING ACTIVITIES
HOW MUCH WAS THE CASH RECEIVED FROM THE SALE OF EQUIPMENT?
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