Carefully analyze the table below. Read the transactions on the left, and indicate what kind of effect the transaction has on accounting equation by indicating +, - or NC in the relevant cells. Then determine what type of activity it is and the effect on cash by writing O for Operating activity, F for financing activity, I for investing activity and NCT for non-cash transaction. Then indicate the effect of the transaction on cash and net income of the company by indicating +,- or NC. The first example has been done for you.

dicating +,- or NC. The first example has Analyze of the transaction On accounting equation Transactions Assets Liabilities OE Activity Classification Effect on Cash Effect on NI CA FACL LTL OC RE O.FUNCT NC, NC, Paid interest on debt Sold marketable securities at a gain, Purchased marketable securities Purchased a long-term investment with cash Paid nocounts payable, Earned a net income Retired long-term debt by issuing stock Billed customers for the services performed Transferred to the business own equipment Sold a machine at a loss Received cash on account Declared and paid cash dividend. Converted bonds to common stock Retired fully depreciated equipment Purchased inventory Purchased a one-year insurance policy. Issued stock for cash Recorded the annual depreciation for the year Purchased short-term, ninety- day Treasury bill Purchased machinery on credit Received dividend income. dicating +,- or NC. The first example has Analyze of the transaction On accounting equation Transactions Assets Liabilities OE Activity Classification Effect on Cash Effect on NI CA FACL LTL OC RE O.FUNCT NC, NC, Paid interest on debt Sold marketable securities at a gain, Purchased marketable securities Purchased a long-term investment with cash Paid nocounts payable, Earned a net income Retired long-term debt by issuing stock Billed customers for the services performed Transferred to the business own equipment Sold a machine at a loss Received cash on account Declared and paid cash dividend. Converted bonds to common stock Retired fully depreciated equipment Purchased inventory Purchased a one-year insurance policy. Issued stock for cash Recorded the annual depreciation for the year Purchased short-term, ninety- day Treasury bill Purchased machinery on credit Received dividend income