23 The December 31 2009 balance sheet shows net fixed assets

23) The December 31, 2009 balance sheet shows net fixed assets of $175,000 and the December 31, 2010 balance sheet shows net fixed assets of $255,000. The depreciation expense for 2009 is $25,000 and the depreciation expense for 2010 is $45,000. Based on this information, the net capital spending during 2010 is

Solution

Capital Spending Ending Net Fixed Assets 2011 $255,000.00 - Beginning Net Fixed Assets 2010 -$175,000.00 + Depreciation 2010 $45,000.00 Net capital spending 2010 $125,000.00