for each of the following transactions reported on a statement 283291

For each of the following transactions reported on a statement of cash flows, indicate whether it would appear in the Operating Activities section (O), in the Investing Activities section (I), or in the Financing Activities section (F). Put an S in the blank if the transaction does not affect cash but is reported in a supplemental schedule of noncash activities. Assume that the company uses the direct method in the Operating Activities section.

______ 1. A company purchases its own common stock in the open market and immediately retires it.

______ 2. A company issues preferred stock in exchange for land.

______ 3. A six month bank loan is obtained.

______ 4. Twenty year bonds are issued.

______ 5. A customer’s open account is collected.

______ 6. Income taxes are paid.

______ 7. Cash sales for the day are recorded.

______ 8. Cash dividends are declared and paid.

______ 9. A creditor is given shares of common stock in the company in return for cancellation of a long term loan.

______ 10. A new piece of machinery is acquired for cash.

______ 11. Stock of another company is acquired as an investment.

______ 12. Interest is paid on a bank loan.

______ 13. Factory workers are paid.