6. Item 1: Classify each transaction as either an operating activity "OA, an investing activity "IA," or a financing activity "FA," or (d) a noncash investing and financing activity "NC." Selected transactions for the Entity A are listed below. 1. Retirement of bonds payable. 2. Paid salaries. 3. Purchase of equipment 4. Cash dividends paid. 5. Cash sale of merchandise. Issue par value common stock for cash. 7. Exchange of land for a patent. 8. Land was sold for its book value. 9. Cash paid for inventory 10. Direct issuance of a long-term note payable to acquire a building. Item 2: Entity B reported net income of $45,000 for the current year. Depreciation recorded on buildings and equipment amounted to $60,000 for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of Year Cash $45,000 $75,000 Accounts receivable 60,000 46,000 Inventory 34,000 44,000 Accounts payable 22,000 14,000 Taxes payable 1,000 10,000 Instructions: Prepare the cash flows from the operating activities section of the statement of cash flows using the indirect method