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Problem 1: If a loss of $12,500 is incurred in selling (for cash) office equipment having a book value of $50,000, the total amount reported in the cash flows from investing activities section of the statement of cash flows is
a. $62,500
b. $37,500.
c. $50,000.
d. $12,500
Identify any professional standards and regulatory requirements which have been breached and explain the impact of the breaches.
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