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In the lecture (Part 3&4), we discussed the relationship between balance sheet and the cash flow statement. Please a) use accounts in the balance sheet

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In the lecture (Part 3\&4), we discussed the relationship between balance sheet and the cash flow statement. Please a) use accounts in the balance sheet to give an example for each of the following 4 statements; b) discuss which section in the cash flow statement you should record cash flow in your example (specify if it is a cash inflow or outflow). (2pts, 0.5 for each statement) (Hint: You may use the financial statements from the Meals for the Homeless to help you think about examples). 1) Asset increase uses cash. Example answer: If an organization purchases supplies, it will lead to an increase in inventory account and a decrease in cash. This cash outflow will be recorded under cash flows from operating activities. For this statement, you need to give a different example using any asset account in the balance shect. 2) Asset decrease provides cash. 3) Liability increase provides cash 4) Liability decrease uses cash. Question 3: Piease record the financial transactions (provided in the worksheet below) incurred in the Concern for Animal Shelter and Habitats (CASH) using the transaction worksheet and then use the ending balance to prepare a balance sheet for CASH. 22pts; 1.5 pts for transaction recording \& 0.5 for balance sheet). P4-Q3 Transiction Worksheet xds P4.Q3. Balance Sheet Template.xls an a Cxyx nL \begin{tabular}{|l|l|} \hline \multicolumn{1}{|c|}{ CASH } \\ \multicolumn{1}{|c|}{ Statement of Financial Position } \\ as the End of the First Month 2020 \\ \hline Assets & \\ \hline Current assets & \\ \hline Cash & \\ \hline Supplies & \\ \hline Total current assets & \\ \hline Long-term assets & \\ \hline Office Equipment & \\ \hline Office Sign & \\ \hline Total long-term assets & \\ \hline Total Assets & \\ \hline Liabilities \& Net Assets & \\ \hline Liabilities & \\ \hline Short-term liabilities & \\ \hline Accounts payable & \\ \hline Total short-term liabilities & \\ \hline Long-term liabilities & \\ \hline Loan payable & \\ \hline Total long-term liabilities & \\ \hline Total Liabilities & \\ \hline Net assets & \\ \hline Unrestricted & \\ \hline Temporarily restricted & \\ \hline Potal net assets & \\ \hline Liabilities and Net Assets & \\ \hline \end{tabular}

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