Instructions: Classify each transaction whether they are operating, financing orinvesting. After which, indicate the reason for classification.Finally indicate the effect of the transactions to cash flows.TransactionsActivityReasonEffectAffects profitPayment to supplier of goodsOperatingDecrease Cashand lossPayment to supplier of servicesReceipt from goods soldReceipt from service renderedPayment to employeesPurchase of equipmentPurchase of fixturesPurchase of patentsPurchase of copyrightsPurchase trademarksPayment of interestProceeds from interestsPayment to ownersReceipts from ownersPayProceeds from long-term debtent of income taxesPayment of long-termProceeds from sale of vehicleProceeds from sale of patentProceeds from sale of trademarksCS Scanned with CamScanner

Statement of cash flows forms a part of financial statement of the companies and is prepared with a…

Instructions: Classify each transaction whether they are operating, financing or investing. After which, indicate the reason for classification. Finally indicate the effect of the transactions to cash flows. Transactions Activity Reason Effect Affects profit Payment to supplier of goods Operating Decrease Cash and loss Payment to supplier of services Receipt from goods sold Receipt from service rendered

Instructions: Classify each transaction whether they are operating, financing or investing. After which, indicate the reason for classification. Finally indicate the effect of the transactions to cash flows. Transactions Activity Reason Effect Affects profit Payment to supplier of goods Operating Decrease Cash and loss Payment to supplier of services Receipt from goods sold Receipt from service rendered

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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