Listed below are several transactions that typically produce either an increase or a decrease in cash Indicate by letter whether the cash effect of each transaction is reported on a statement of cash as an operating (O), investing (U), or financing (F) activity. Draw an up or down arrow to indicate 1. flows increase or decrease. Transaction Sale of Common Stock Purchase Land Pay Accounts Payable bill Receive payment from customer Sell old equipment Pay income taxes Increase or Decrease Type 2. The accounting records of EZ Company provided the data below Net income s 50,000 Depreciation expense7,000 1,500 800 Increase in inventory Decrease in salaries payable Decrease in accounts receivable Amortization of premium on bonds 2,000 1,000 Increase in accounts 4,000 Cash dividends 12,000 payable Prepare a reconciliation of net income to net cash flows from operating activities