Avatar Company Uses the Indirect Method to Prepare Its Statement

question 128

Essay

Avatar Company uses the indirect method to prepare its statement of cash flows. During 2014, plant assets with book value of $10,000 were sold for $14,000. Using the worksheet shown below, please enter the adjustments needed to record gain on sale of plant assets of $4,000.

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Definitions:

Trial Court's

Refers to the court where a case is originally tried, as opposed to an appellate court which reviews the lower court's decision.

Finding of Fact

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