Question
Classify each cash flow below as operating, O, investing, I, or financing, F. Indicate the effect on cash by leaving the class letter plain if
Classify each cash flow below as operating, O, investing, I, or financing, F. Indicate the effect on cash by leaving the class letter plain if cash increases, or by placing a parenthesis around the letter if cash decreases, e.g., a financing outflow of cash would be designated (F) while an investing inflow of cash would be labeled (I).
____ 1. Cash paid for dividends.
____ 2. Cash collected from customers.
____ 3. Cash received when signing a note payable.
____ 4. Cash paid to employees.
____ 5. Cash paid to purchase equipment.
____ 6. Cash received from a sale of obsolete computers.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started