CP $14-1$

The following transactions were carried out by Crozier Manufacturing

Limited.

Required: Indicate into which category each transaction or adjustment

is placed in the statement of cash flows: operating $($O$),$

financing $($F$),$ or investing $($I$)$ activities.

A payment of $$5,000$ was made on a non$-$current bank loan.

Depreciation expense for equipment was $$1,000.$

$$10,000$ of common stock was issued for cash.

Cash dividends of $$2,500$ were declared and paid to stockholders.

A non$-$current bank loan was assumed in exchange for equipment

costing $$7,000.$

Land was purchased for $$25,000$ cash.

$$750$ of accrued salaries was paid.

A $$5,000$ operating loan was obtained. The loan is due on demand

and is an integral part of the company's cash management strategy.

$$10,000$ of accounts receivable was collected.

A building was purchased for $$80,000$ : $$30,000$ was paid in

cash and the rest was borrowed.

Land was sold for $$50,000$ cash.

Equipment was sold for $$6,000.$ The original cost was

$$10,000.$ The related accumulation depreciation was $$3,000.$

$$1,200$ cash was paid for a $12-$month insurance policy to take

effect next year.

A patent was amortized for $$500.$

Stock was redeemed for $$50,000$ cash, the original purchase price.