Chorba Chocolates Had the Following Account Balances on Its Balance

question 63

Multiple Choice

Chorba Chocolates had the following account balances on its balance sheets at December 31,2012 and 2011,respectively: $$\begin{array} { l l l } & \underline { 1233112 } & \underline { 12 / 31 / 12 } \\\text { Fixed Assets } & 480,000 & \$ 67,000 \\\text { Accumulated Depreciation } & 44,000 & 39,000\end{array}$$ Depreciation expense for 2012 was $7,000.There were no gains or losses on the 2012 income statement.One fixed asset with an original cost of $8,000 was sold during 2012.What was the cash flow associated with the acquisition of fixed assets by Chorba Chocolates in 2012?

• A)$(2,000)
• B)$(8,000)
• C)$(14,000)
• D)$(13,000)
• E)$(21,000)

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