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Boston Inc. Had below transactions. Classify each transaction as operating, investing, financing or if not applicable explain why. (Assume activities identified as operating activities are
Boston Inc. Had below transactions. Classify each transaction as operating, investing, financing or if not applicable explain why. (Assume activities identified as operating activities are determined by direct method). 1. Mede payments on accounts payable to office suppliers. 2. Paid the principel emount of a motteage to Seventh Bank 3. Paid intcrost charges relating to g mortgage to Scventh Bank. 4. Issued preferred stock for cash; manageinent plans to use this cash in the near future to purchase another company. 5. Peid salaries to employess in the finence departincnt 6. Collceted an account receivable from-a customich- 7. Transfircd cash from the Eeneral bank account into a moncy market fund 8. Uxcd the cash recered in 4 , to purchase Morm Manufacturing \\( C \\) o. 9. Made a ycarcond adjusting entry 10 rcognizG amortization expense. 10. Al ycarend purchascd for cash an advertising spot on a local radio station for the ncxt cight months. 11. Poid the arinul dividend on preferred stoct. 12. Peid the smisnnuel intcrest on bands paysble 13. Reccived a scmiennual dividend from en investmentin the common stock of encthcr corporation. 14. Sold for cash en investment in the common stock of another corporation 15. Received cash upon the maturity of an investment in cush equivalents. (Ignore interest)
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