12. A company's transactions with its creditors to borrow money and/or to repay the principal amounts of loans are reported as cash flows from: A. Operating activities B. Investing activities C. Financing activities D. Direct activities E. Indirect activities 13. Activities that involve the production or purchase of merchandise and the sale of goods and services to customers, including expenditures related to administering the business, are classified as: A. Financing activities B. Investing activities C. Operating activities D. Direct activities E. Indirect activities 14. The appropriate section in the statement of cash flows for reporting the receipt of cash dividends from investments in securities is: A. Operating activities B. Financing activities C. Investing activities D. Schedule of noncash investing or financing activity E. None of these as this is not reported on the statement of cash flows 15. Which one of the following is representative of typical cash flows from operating activities? A. Proceeds from collecting the principal amount of loans B. Repayment of principal on loans C. Proceeds from the issuance of bonds and notes payable D. Payments by a merchandiser to acquire equity securities of other companies E. Receipts of cash sales