True or False

1. Cash paid for taxes and interest must be disclosed on the face of the statement or in the disclosure notes under both the direct and indirect methods of reporting cash flows from operating activities.
2. Amounts held in cash equivalent investments must be reported separately from amounts held as cash in the statement of cash flows.
3. "When one enters a $50,000 credit entry to the Land account in a spreadsheet for the statement of cash flows, it represents a negative change in that account and probably is due to selling such assets."
4. "If the direct method is used to report cash flows from operating activities in the body of the statement of cash flows, a reconciliation of net income to net cash flows from operating activities is not required."
5. A decrease in cash dividends payable means that dividends declared were more than dividends paid.