Question
2).Identify each of the following as increasing (+) or decreasing (-) cash flows from operating activities (O), investment activities (I), or financing activities (F). (EXAMPLE:
2).Identify each of the following as increasing (+) or decreasing (-) cash flows from operating activities
(O), investment activities (I), or financing activities (F). (EXAMPLE: the sale of plant and equipment would increase cash flows from investing activities, and the correct answer would be + I).(5 points)
1) Increase in accounts payable
2) Decrease in Inventory
3) Net income from operations
4) Payment of dividends
5) Sale of preferred stock
6) Increase in accrued expenses
7) Purchase of new equipment
8) Decrease in amortization
9) Increase in accounts receivable
10) Decrease in notes payable
11) Increase in net worth
12) Increase in long term liabilities
13) Increase in investments
14) Decrease in marketable securities
15) Reduction in retained earnings
16) Repurchase of common shares outstanding
17) Increase in prepaid expenses
18) Decrease in income taxes payable
19) Retirement of long-term bonds payable
20) Sale of new common stock
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