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I can't figure out the operating activities amount for year 1
On January 1, Year 1, Webb Construction Company overhauled four cranes, resulting in a slight increase in the life of the cra
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(c) If the cost is capitalized and expensed through depreciation charge, then the cash flows from operating activities will not be affected in both years.  The reason for this is that depreciation is a non cash expense and there will be no impact of a non cash transaction on cash flows from operating activities. This transaction will impact cash flows from investing activities. So, in year 1 and year 2, the effect on cash flows from operating activities will be $0.

(d) If the cost is recognized as maintenance expenses, then the cash flows from operating expenses will be reduced by $23860 in year 1, being expenses paid in cash. In year 2, there will be no effect on cash flows from operating activities.

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