The following selected account balances relate to the shareholders' equity accounts of Valerio Corp.:

Additional information:
1. During the year, 500 preferred shares were issued. No preferred shares were repurchased.
2. During the year, 10,000 common shares were issued. No common shares were repurchased.
Instructions
(a) Determine the amounts of any cash receipts or payments related to the shareholders' equity accounts in 2015.
(b) Indicate where each of the cash receipts or payments identified in part (a) would be classified on the statement of cash flows or accompanying notes.
(c) Would you expect a growing company to be generating or using cash for its financing activities? Explain.

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Preferred shares, 3,250 shares in 2015; 2,750 in 2014 Common shares, 50,000 shares in 2015; 40,000 in 2014 Retained earnings Cash dividends-preferred Dividends payable 2015 $325,000 600,000 500,000 11,250 2,812 2014 $275,000 400,000 300,000 13,750 3,438