Reliance Corporation has provided the following information for the year ended December 31, 2016:

The equipment account balance increased $207,000.

The equipment accumulated depreciation account balance increased $35,700.

Equipment costing $51,400 was sold during the year resulting in a $11,050 gain.

Depreciation expense recorded on the equipment during the year was $65,700.

Which of the following statements is correct with respect to determining cash flow from operating activities?

Using the indirect method, net income is increased by the $65,700 depreciation expense.

Using the indirect method, net income is increased by the $11,050 gain on the sale of the equipment.

Using the indirect method, net income is decreased by the $30,000 sales price of the equipment.

Using the indirect method, net income is increased by the $35,700increase in the accumulated depreciation account balance.

Flow Company has provided the following information for the year ended December 31, 2016:

Cash paid for interest, $20,000

Cash paid for dividends, $6,000

Cash dividends received, $4,000

Cash proceeds from bank loan, $29,000

Cash purchase of treasury stock, $11,000

Cash paid for equipment purchase, $27,000

Cash received from issuance of common stock, $37,000

Cash received from sale of land with a $32,000 book value, $25,000

Acquisition of land costing $51,000 in exchange for preferred stock issuance.

Payment of a $100,000 note payable by exchanging used machinery with a $77,000 book value and $100,000 fair value.

How much was Flow's net cash flow from financing activities?

A net outflow of $53,000.

A net inflow of $29,000.

A net outflow of $51,000.

Roberts Company sold equipment for $300,000, purchased a building for $6,750,000, sold short-term investments for $330,000, repaid principal on a note payable for $2,550,000 plus $280,000 of interest, and paid cash dividends of $25,000.

What was the net cash flow from financing activities?

$2,830,000 outflow.

$2,575,000 outflow.

$2,550,000 outflow.

$2,855,000 outflow.

A company acquired some land (independently appraised at $14,100) and paid for it by issuing 1,210 shares of its common stock (par $10 per share; no market price was quoted).

How should this be reported on the statement of cash flows?

Report $14,100 as an inflow of cash.

The transaction should not be reported on the statement of cash flows.

Report in a schedule of significant noncash investing and financing activities.

Report $14,100 as inflow and outflow of cash.