Effect of transactions on cash changes equation. Indicate the effect of each of the transactions in Problem 1 on the cash change equation: \(\Delta \mathrm{C}=\Delta \mathrm{L}+\Delta \mathrm{SE}-\Delta \mathrm{N} \$ \mathrm{~A}\), where \(\Delta \mathrm{C}=\) change in cash, \(\Delta \mathrm{L}=\) change in liabilities, \(\Delta \mathrm{SE}=\) change in shareholders' equity, and \(\triangle \mathrm{N} \$ \mathrm{~A}=\) change in noncash assets. If the transaction affects the income statement, indicate the effect on net income first and then indicate any adjustment made to net income to compute cash flow from operations using the indirect method. For example, the sale of land, originally costing \(\$ 100\), for \(\$ 120\) in cash affects the cash change equation as follows:

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AC = AL + ASE - AN$A Operations +$ 20 = $0 + $20 - $ 0 Investing +120 = 0 + 0 - - -100 Operations -20 Net +$120 = $0 + $20 - -$100