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7. EX.12.20 Classification of Activities Select how each transaction would be reported on the statement of cash flows. (Assume that the stocks and bonds of

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7. EX.12.20 Classification of Activities Select how each transaction would be reported on the statement of cash flows. (Assume that the stocks and bonds of other companies are classified as long-term investments.) Inflow from investing activities Outflow from investing activities Inflow from financing activities Outflow from financing activities Classified as a Cash equivalent and included with cash for purposes of preparing the statement of cash flows 1. Purchased a six-month certificate of deposit 2. Purchased a 60-day Treasury bill 3. Issued 1,000 shares of common stock 4. Purchased 1,000 shares of stock in another company 5. Purchased 1,000 shares of its own stock to be held in the treasury 6. Invested $1,000 in a money market fund 7. Sold 500 shares of stock of another company 8. Purchased 20-year bonds of another company 9. Issued 30-year bonds 10. Repaid a six-month bank loan

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