D Question 13 1 pts Rosa signs a covenant not to compete with her employer, Sales Corporation. A court decides that the covenant is unreasonably restrictive. Most likely, the court will enforce it O evaluate its effect over time. reform it to prevent any undue burden. O refuse to enforce it unless the employer pays additional consideration. The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and o warehouse 1. Issued 30,000 shares of common stock in exchange for $300,000 in cash. 2. Purchased equipment at a cost of $40,000 $10,000 cash was paid and a note payable to the seller was signed for the balance owed. 3. Purchased inventory on account at a cost of $90,000. The company uses the perpetual inventory system. 4. Credit sales for the month totaled $120,000. The cost of the goods sold was $70,000 5. Paid $5,000 in rent on the warehouse building for the month of March 6. Paid S6,000 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2021. 7. Paid $70,000 on account for the merchandise purchased in 3. Collected $55.000 from customers on account 9. Recorded depreciation expense of $1,000 for the month on the equipment 8 Required: 1. Analyze each transaction by indicating the cash effect and classify each as a financing. Investing, and/or operating activity transaction can represent more than one type of activity) 2. Prepare a statement of cash flows, using the direct method to present cash flows from operating activities Assume the car balance at the beginning of the month was $40,000