indicate the effect, if any, that each separate transaction has on financing cash flows. (Select "No Effect" if there is no effect.)

1. Long-term notes payable with a carrying value of $16,800 are retired for $18,700 cash, resulting in a $1,900 loss.
2. Paid cash dividends of $12,800 to common stockholders.
3. Acquired $21,800 worth of machinery in exchange for common stock.