Received cash for the sale of equipment that had cost $70,600, yielding a $4,200 gain.

To analyze the received cash for the sale of equipment, we can break down the problem into understanding the financial implications of the transaction.

Breakdown of the Problem

1. Cost of Equipment: $70,600
2. Gain on Sale: $4,200
3. Cash Received from Sale: This is what we need to compute.

Relevant Concepts

• The gain on the sale of an asset is calculated as: $\text{Gain} = \text{Cash Received} - \text{Cost of Equipment}$

Analysis and Detail

To find the cash received, we can rearrange the formula: $\text{Cash Received} = \text{Cost of Equipment} + \text{Gain}$ Substituting the known values: $\text{Cash Received} = 70,600 + 4,200$

Verify and Summarize

Now, let's perform the addition: $\text{Cash Received} = 70,600 + 4,200 = 74,800$

Final Answer

The cash received from the sale of the equipment is $74,800.