The Following Information Is from the Noncurrent Asset Portion of Randle

question 14

Multiple Choice

The following information is from the noncurrent asset portion of Randle Company's balance sheet.
$\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$ $\quad$$\text { December } 31$
$\begin{array}{lcccc}&2017&2016\\\text { Property, plant, and equipment } & \$ 140,000 & \$ 125,000 & \\\text { Accumulated depreciation } & (69,500) & (57,000) \\\text { Long-term investments } & 27,000 & 15,000 &\end{array}$

The following activities occurred during 2017:
Sold equipment with an original cost of $8,000 and a book value of $2,500 for $2,000 cash.
Depreciation expense for the year totaled $18,000.
Purchased property for $23,000 cash.
Purchased long-term investments for $12,000 cash.
What is the amount of cash used by investing activities?

• A)$27,000
• B)$51,000
• C)$33,000
• D)$14,500
• E)None of the answer choices is correct.

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Definitions:

Trade Price

The price at which goods are sold between companies, typically lower than retail prices due to the absence of retailer markup.

Domestic Production

The total output of goods and services produced by a nation's economy within its territory.

Domestic Price

The value of merchandise or services within a nation's boundaries, unlike the prices set for global or export markets.

Free Trade

Global commerce conducted freely without the imposition of tariffs, quotas, or any limitations.