You are provided with the following transactions that took place during a recent fiscal year. (a) Recorded

Question:

You are provided with the following transactions that took place during a recent fiscal year.

(a) Recorded depreciation expense on the plant assets.(b) Recorded and paid interest expense.(c) Recorded cash proceeds from a sale of plant assets.(d) Acquired land by issuing common stock.(e) Paid a cash dividend to preferred stockholders.(f) Paid a cash dividend to common stockholders.(g) Recorded cash sales.(h) Recorded sales on account.(i) Purchased inventory for cash.(j) Purchased inventory on account.InstructionsComplete the table indicating whether each item (1) affects operating (O) activities, investing (I) activities, financing (F) activities, or is a noncash (NC) transaction reported in a separate schedule, and (2) represents a cash inflow or cash outflow or has no cash flow effect. Assume use of the indirect approach.

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...