Marsh Company Owned an Asset That Had Cost $22,000

question 52

Multiple Choice

Marsh Company owned an asset that had cost $22,000. The company sold the asset on January 1, 2013 for $8,000. Accumulated depreciation on the day of sale amounted to $16,000. Based on this information, the sale would result in:

• A)An $8,000 increase in total assets.
• B)An $8,000 cash inflow in the investing activities section of the cash flow statement.
• C)A $2,000 gain in the investing activities section of the statement of cash flows.
• D)A $2,000 cash inflow in the financing activities section of the cash flow statement.

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Definitions:

PMRA

Pest Management Regulatory Agency, the Canadian government agency responsible for the regulation of pesticides and pest management strategies.

Pesticides

Substances used to eliminate or control pests affecting plants or animals, which include herbicides, insecticides, and fungicides, among others.

Jurisdictional Level

The specific scope of authority or control exercised by a legal or governmental entity.

Nervous System Disorders

Medical conditions that affect the body's nervous system, which includes the brain, spinal cord, and nerves.