Manhattan Corporation Provided the Following Partial List of Account Balances

question 4

Essay

Manhattan Corporation provided the following partial list of account balances for Year 2:
The following additional information is also available for Year 2:The company recognized a gain of $8,000 on sale of land that occurred when land that had cost $16,000 was sold for $24,000.The company recognized a loss of $10,000 on the sale of marketable securities.No additional marketable securities were purchased during the year.The company also sold equipment originally costing $6,000 with accumulated depreciation of $4,000 for $3,600.All purchases of land and equipment were made with cash.
Required:Prepare the investing activities section of the statement of cash flows.

---

Definitions:

Federalism

A system of government in which power is divided between a central (federal) government and regional (state or provincial) governments.

Checks and Balances

A system in government where each branch has the power to check or limit the actions of the other branches to prevent any single branch from becoming too powerful.

Constitution

The fundamental set of laws and principles that outlines the governance structure, rights, and duties within a state or organization.

Necessary and Proper Clause

A clause in the U.S. Constitution granting Congress the power to pass all laws required and appropriate for executing its declared powers.