an old machinery having a book value of rs.50000 was sold for rs.60000 . how this will be treated while preparing cash flow ? and should we have to account depreciation under operating activity and sub head non cash item ?

Dear Student,
Sale of Machinery : Add Rs 60,000 to Cash from Investing Activities.
Profit on Sale of Machinery : Less Rs 10,000 from Non operating  Incomes in Cash from Operating Activities.
Depreciation : If there is any accumulated depreciation, it will not be recorded anywhere.

Regards

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60,000 will be shown under investing activity. 
10,000 will be the earned profit which will be shown in operating activity in negative.
There is no need to prepare depreciation or fixed asset account.
Hope this helps! 
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