Determining Cash Flows from Investing Activities Airco owns several aircraft and its balance sheet indicated the following amounts for its aircraft accounts at the end of 2011 and 2010: 12/31/2010 12/31/2011 Equipment, aircraft Accumulated depreciation Book value $32,700,000 13,900,000 $18,800,000 $22,250,000 13,125,000 $9,125,000 1. Assume that Airco did not sell any aircraft during 2011.
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Determine the amount of depreciation expense for 2011 and the cash spent on aircraft purchases in 2011. Depreciation expense $ 12500C Cash spent for aircraft purchases 2. If Airco sold for cash aircraft that cost $4,195,600 with accumulated depreciation of $3,825,000, producing a gain of $308,000, determine: a. The amount of depreciation expense b. The cash paid for aircraft purchases in 2011 c. The cash inflow from the disposal of aircraft t. Get Accounting homework help today
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