Problemon july 15 2016 mw morgan distribution sold land for, Ask an Expert

Accounting

Problem

On July 15, 2016, M.W. Morgan Distribution sold land for $49.6 million that it had purchased in 2011 for $37.0 million.

a. What would be the amount(s) related to the sale that Morgan would report in its statement of cash flows for the year ended December 31, 2016, using the direct method? (List any cash outflows with a minus sign. Enter your answer in millions rounded to 1 decimal place (i.e., 5, 500,000 should be entered as 5.5).)

b. Would the above amount differ if the company were using indirect method? Yes No

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M92719715

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