Exercise 2 You are provided with the following transactions that took place during a recent fiscal year. Statement of Cash Statement of Cash Inflow, or No Flow, Activity Affect? Effect? Transaction (a) Recorded depreciation expense on the plant assets. (b) Recorded and paid interest expense. (c) Recorded cash proceeds from a sale of plant assets. (d) Acquired land by issuing ordinary shares. (e) Paid a cash dividend to preference shareholders. (1) Distributed a share dividend to ordinary shareholders. (g) Recorded cash sales. (h) Recorded sales on account. (1) Purchased inventory for cash. 0) Purchased inventory on account Instructions Complete the table indicating whether each item (1) affects operating activities. Investing (1) activities, financing (F) activities, or is a non-cash (NC) transaction reported in a separate schedule; and (2) represents a cash inflow or cash outflow or has no cash flow effect. Assume use of the indirect approach