A building with a book value of $46,349 is sold for $61,396 cash. Using the indirect method, this transaction should be shown on the statement of cash flows as an increase of a. $46,349 in the investing activities section and an addition of $15,047 to net income in the operating activities section b. $61,396 in the investing activities section and a deduction of $15,047 from net income in the operating activities section c. $46,349 in the investing activities section d. $61,396 in the investing activities section

A building with a book value of $46,349 is sold for $61,396 cash. Using the indirect method, this transaction should be shown on the statement of cash flows as an increase of a. $46,349 in the investing activities section and an addition of $15,047 to net income in the operating activities section b. $61,396 in the investing activities section and a deduction of $15,047 from net income in the operating activities section c. $46,349 in the investing activities section d. $61,396 in the investing activities section

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 21E

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