Classification of items as operating, investing, or financing (Learning Objective 2) 10–15 min.

Indicate whether each of the following transactions would result in an operating activity, an investing activity, a financing activity, or a transaction that does not affect cash for a statement of cash flows prepared by the indirect method.

DATE Equipment Cash Cash Long-Term Investment Bonds Payable Cash Building Notes Payable, Long-Term Loss on Disposal of Equipment Equipment Dividends Payable Cash Cash Common Stock Treasury Stock Cash Cash Sales Revenue Land Cash Depreciation Expense Accumulated Depreciation ACCOUNTS a.

b.

c.

d.

e.

f.

g.

h.

i.

j.

k.

POST REF. DR. CR.

13,000 7,500 500,000 180,000 1,000 15,000 80,000 10,000 65,000 83,500 9,200 13,000 7,500 500,000 180,000 1,000 15,000 80,000 10,000 65,000 83,500 9,200 AppendixLO1