Analysis of an income statement, balance sheet, and additional information from the accounting records of Gadgets, Inc., reveals the following items. Required: Select the section of the statement of cash flows in which each of these items would be reported: operating activities (indirect method), investing activities, financing activities, or a separate noncash activities note. Items Activities 1. Purchase of a patent. 2 Depreciation expense 3 Decrease in accounts receivable Financing activities 4. lissuance of a note payable 5 Increase in inventory 6. Collection of notes receivable 7. Purchase of equipment 8. Exchange of long-term assets 9. Decrease in accounts payable 10. Payment of dividends. Investing activities Noncash activities Operating activities