Selected Data from the Financial Statements for the Years Ended

question 136

Essay

Selected data from the financial statements for the years ended December 31, Year 2 and Year 1, are presented below:
$$\begin{array} { l r r } & \text { Year 2 } & \text { Year 1 } \\ \text { Property, plant, and equipment }& \$ 14,100 & \$ 12,200 \\\text { Accumulated depreciation }& 4,900 & 4,700 \\\text { Investments } & 450 & 240 \\\text { Short-term debt } & 55 & 57 \\ \text { Lang-term debt }& 1,500 & 1,200 \\\text { Common shares } & 597 & 567 \\\text { Share Repurchase--common shares } & ( 21 ) & ( 21 ) \\\text { Retained earnings } & 3,522 & 3,426 \\\text { Net income } &770&713\end{array}$$ The following additional information was obtained from the company's records:
1. Cash addituns to property, plant, and equpment during Year 2 were $2,300. An additional \$250 of plant assets were acquired through debt in anoncash transaction. Depreciation expense for Year 2 was $400. Gains an disposals of property, plant and equipment during Year 2 were $40.

2. The cash proceeds from the sale of investments in Year 2 were $\$ 120$ . There was a $\$ 30$ gain an the sale of the investments.

3. Praceeds fram lang-term debt issued during Year 2 were $\$ 200$ .

4. The issuance of common shares totalled $\$ 30$ in Year 2.
-Refer to Maritime Marine Services.What was the amount of accumulated depreciation on the property,plant,and equipment disposed of during Year 2?

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Definitions:

Russian Revolution

A series of political upheavals in Russia in 1917, leading to the overthrow of the Tsarist autocracy and the establishment of a communist government under the Bolsheviks.

Soviet Union

A federal socialist state in Eurasia that existed from 1922 to 1991, known officially as the Union of Soviet Socialist Republics (USSR), and was a major world power during the 20th century.

Anticommunism

Opposition to communism, typically manifested in policies or practices aimed at preventing the spread of communist ideology.

Great Steel Strike

A significant labor conflict in the United States that occurred in 1919, involving over 350,000 steelworkers who went on strike demanding better wages, working conditions, and the right to unionize.