+ 5 3 2 Item Transaction Example Purchased new machinery for $75,000 Made a payment of $2,000 on a bank loan. Cash sales were $60,000 this month. Type of Activity on the Statement of Cash Flow INVESTING Declared dividends for $5,000, which will be paid later Sold a used vehicle for $11,000. Traded a $100,000 building for a parcel of land. worth $100,000 Operating Investing Financing No effect