Classify Each of the Following Transactions for the Purpose of the Statement

question 21

Short Answer

Classify each of the following transactions for the purpose of the statement of cash flow as operating activities (OA), investing activities (IA), financing activities (FA), or not reported on the statement of cash flows (NA).
1) ____ Made adjusting entry to recognize interest revenue on investments.
2) ____ Borrowed funds from the bank.
3) ____ Paid rent in advance for the next six months.
4) ____ Paid cash to settle accrued salary expense.
5) ____ Purchased supplies on account.
6) ____ Collected accounts receivable.
7) ____ Sold land.

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Definitions:

-poiesis

A suffix meaning the formation, production, or generation of something, such as in 'hemopoiesis' the production of blood cells.

Suffix

A morpheme added at the end of a word to form a derivative, e.g., -tion, -sion, -ness.

Formation

The process of developing or being formed; in biology, it often refers to the way cells or tissues are created and organized.

Profuse Sweating

Excessive perspiration often due to heat, physical exertion, or medical conditions.