Examine the cash flow statement for StaplesI Inc. shown in Real-World Case 21-6 in Chapter 21, and discuss the five questions in the case. Note the trend in cash from operations. Why is this trend occurring? 1. In the three years reported, what was Staples' primary investing activity? How was this activity financed? Be specific. In the three years reported, the largest investing activity for Staples was the acquisition of property and equipment. The activity was financed by the funds provided by the cash generated from operating activities. 2. During the most recent scal year, Staples purchased certicates of deposit. How were these purchases reported in the statement of cash flows?l (Note: This is not an investing activity.) The purchase of a CD should not be reported in the statement of cash flows since it is a transfer of cash to cash equivalents and there is no change in the total amount of cash and cash equivalent. If there were a gain or loss it would be reported as a cash ow from operating activities. 3. How are issuances of debt securities and issuances of equity securities classified in a statement of cash flows? The issuances of debt securities and equity securities are classified as financing activities in the statement of cash flows