A Building with a Book Value of $54,000 Is Sold

question 40

Multiple Choice

A building with a book value of $54,000 is sold for $63,000 cash Using the indirect method, this transaction should be shown on the statement of cash flows as follows:

• A) an increase of $54,000 from investing activities
• B) an increase of $63,000 from investing activities and a deduction from net income of $9,000
• C) an increase of $9,000 from investing activities
• D) an increase of $54,000 from investing activities and an addition to net income of $9,000

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Definitions:

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An individual's sense of who they are based on their group memberships, such as nationality, religion, or social class.

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Moral Intuition

The instantaneous, gut-feeling or emotionally charged judgments that people make about what is right or wrong, moral or immoral, without conscious reasoning.

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