Explain the cash impact of various transactions


Task: For each of the transactions, identify:

1. If the transaction is a cash inflow (CI), or a cash outflow (CO), or a non cash flow transaction (NT).

2. Each transaction as an operating activity (OA), an investing activity (IA), or a financing activity (FA), or a non cash flow transaction (NT).

1. Proceeds from issuance of debt.
2. Payments for taxes.
3. Purchase of short-term investments.
4. Collections of dividends.
5. Payment of long-term debt.
6. Proceeds from sale of fixed assets (plant and equipment).
7. Payments to suppliers of goods and services.
8. Proceeds from sales of short-term investments.
9. Declaration of a stock split.
10. Collections from customers.
11. Payment of cash dividends.
12. Proceeds from issuance of common or preferred stock.
13. Payments to employees.
14. Purchases of fixed assets (plant and equipment).
15. Collections of interest.

Explain the cash impact of various transactions, and provides examples?

Identify in which section of the cash flow statement each account would appear, and explains why?

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Accounting Basics: Explain the cash impact of various transactions
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