Following are selected statement of financial position accounts of Sander Bros. Corp. at December 31, 2012 and 2011, and the increases or decreases in each account from 2011 to 2012. Also presented is selected income statement information for the year ended December 31, 2012, and additional information.

Selected income statement information for the year ended December 31, 2012Sales revenue ...... $155,000Depreciation ........ 38,000Gain on sale of equipment .. 14,500Net income ........ 31,000Additional information:1. During 2012, equipment costing $45,000 was sold for cash.2. Accounts receivable relate to sales of merchandise.3. During 2012, $25,000 of bonds payable were issued in exchange for property, plant, and equipment.There was no amortization of bond discount or premium.InstructionsDetermine the category (operating, investing, or financing) and the amount that should be reported in the statement of cash flows for the following items.(a) Payments for purchase of property, plant, and equipment.(b) Proceeds from the sale of equipment.(c) Cash dividends paid.(d) Redemption of bonds payable.

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Increase (Decrease) Selected statement of financial position accounts 2012 2011 Assets $30,000 (11,000) 10,000 $277,000 (178,000) Property, plant, and equipment Accumulated depreciation $247,000 (167,000) 24,000 Accounts receivable 34,000 Increase Selected statement of financial position accounts 2012 2011 (Decrease) Equity and liabilities Share capital- ordinary, $1 par Share premium-ordinary Retained earnings Bonds payable Dividends payable $ 22,000 $ 3,000 $19,000 9,000 104,000 49,000 8,000 3,000 91,000 46,000 5,000 6,000 13,000 3,000 3,000