Samuels Company prepares its statement of cash flows using the direct method and engaged in the following transactions during 2017:

Transaction 1. Samuels purchased inventory on account.

Transaction 2. Samuels collected open accounts receivable.

Transaction 3. Samuels exchanged a building for land and cash.

Transaction 4. Samuels issued 75,000 shares of preferred stock.

Transaction 5. Samuels purchased a three-year fire insurance policy.

a. Which of these transactions would not be included in whole or in part on the statement of cash flows?

b. Which of these transactions or parts of these transactions would be included in the financing activity section of the statement of cash flows?