a-company-exchanges-equipment-for-a-building-how-should-this-non-cash-transactio

Question

A company exchanges equipment for a building. How should this non-cash transaction be reported under GAAP?

Accepted Answer

It should be reported in the cash flow statement.

Answer

It should be disclosed in the notes to the financial statements.

Answer

It should be reported as an investing activity.

Answer

It should be ignored as it does not involve cash.