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[SOLVED]Last year Abby charged $2,256,000 Depreciation on the Income Statement of Andrews.

Last year Abby charged $2,256,000 Depreciation on the Income Statement of Andrews. If Abby sold a fully depreciated piece of equipment at a loss, the effect on Andrews's financial statements would be (all other items remaining equal):

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  •  No impact on Net Cash from operations
  •  Decrease Net Cash from operations on the Cash Flow Statement
  •  Just impact the Balance Sheet
  •  Increase Net Cash from operations



honeyd


17-03-21 | 07:14:38

Depreciation is added back into cash from the operation. therefore if an asset is sold there will be a decrease in the net cash from an operation on the cash flow statement

honeyd


17-03-21 | 07:15:09

correct answer is;
Decrease Net Cash from operations on the Cash Flow Statement

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