Classification of Cash Flows}

\section*{CORNERSTONE 11-1}

OBJECTIVE E 2 CORNERSTONE 11-1 OBJECTIVE

\section*{-} CORNERSTONE 11-1 Stanfield Inc. reported the following items in its statement of cash flows presented using the indirect method.

a. Decrease in inventory

b. Paid a cash dividend to shareholders

c. Purchased equipment for cash

d. Issued long-term debt

e. Depreciation expense

f. Sold a building for cash

\section*{Required:}

Indicate whether each item should be classified as a cash flow from operating activities, a cash flow from investing activities, or a cash flow from financing activities.

\section*{Cornerstone Exercise