Maritime Marine Services
Selected Data from the Financial Statements for the Years

question 79

Essay

Maritime Marine Services
Selected data from the financial statements for the years ended December 31,2014 and 2013,are presented below:
$\begin{array}{lll} \text { (in thousands) }&\underline{ 2014 }&\underline{ 2013 }\\\text { Property, plant and equipment } &\$ 14,100 & \$ 12,20 \\\text { Accumulated depreciation } &4,900 & 4,700 \\\text { Investuments } &450 & 240 \\\text { Short-term debt } &55 & 57 \\\text { Long-term debt } &1,500 & 1,200 \\\text { Common stock } &597 & 567 \\\text { Treasuy-common stock } &(21) & (21) \\\text { Retained earnings } &3,522 & 3,426 \\\text { Net income } &770 & 713\end{array}$
-The following additional information was obtained from the company's records:
1. Cash additions to property, plant, and equipment during 2014 were $\$ 2,300$ . An additional $\$ 250$ of plant assets were acquired through debt in a noncash transaction. Depreciation expense for 2014 was $\$ 400$ . Gains on disposals of property, plant and equipment during 2014 were $\$ 40$ .
2. The cash proceeds from the sale of investments in 2014 was $\$ 120$ . There was a $\$ 30$ gain on the sale of the investments.
3. Proceeds from long-term debt issued during 2014 was $\$ 200$ .
4. The issuance of common stock totaled $\$ 30$ in 2014 . Refer to Maritime Marine Services.What was the cost of the property,plant and equipment which was disposed of during 2014?

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Definitions:

Units Produced

The total number of units created by a production process over a specific period of time.

Break Even

The point at which total revenues equal total costs, resulting in neither profit nor loss.

Common Fixed Expenses

Common fixed expenses are costs that remain constant for a given period regardless of the level of production or sales, and are shared among multiple product lines or departments within a company.

CM Ratio

The contribution margin ratio, representing the portion of sales that contributes to covering fixed costs after variable costs have been paid.