Complex Transactions, Acquisitions and Dispositions of Long- term Assets. Solar Corporation sold equipment with a net book sold equipment with a net book value of $ 6,000 for $ 9,000. Solar also purchased equity securities for $ 8,000. Net income for the year was $ 22,000. There were no other transactions conducted during the period.
Required
a. What is the gain or loss on the sale of equipment?
b. What are Solar’s operating and investing cash flows? Use the indirect method.