Question: Icarus Software Company sold five computers. It had purchased the computers 5 years ago for $120,000, and accumulated depreciation at the time of sale was

Icarus Software Company sold five computers. It had purchased the computers 5 years ago for $120,000, and accumulated depreciation at the time of sale was $80,000.

1. Suppose Icarus received $40,000 cash for the computers. How would the company show the sale on its statement of cash flows?

2. Suppose Icarus received $50,000 cash for the computers. How would the company show the sale on its statement of cash flows (including the schedule reconciling net income and net cash provided by operating activities).

3. Redo requirement 2 assuming cash received was $30,000.

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