Following are selected balance sheet accounts of Del Conte Corp. at December 31, 2024 and 2023, and the increases or decreases in each account from 2023 to 2024. Also presented is selected income statement information for the year ended December 31, 2024, and additional information.

Additional Information:
a. Accounts receivable relate to sales of merchandise.
b. During 2024, equipment costing $40,000 was sold for cash.
c. During 2024, bonds payable with a face value of $20,000 were issued in exchange for property, plant, and equipment. There was no amortization of bond discount or premium.

Required:
Items 1 through 5 represent activities that will be reported in Del Conte’s statement of cash flows for the year ended December 31, 2024. The following two responses are required for each item:
a. Determine the amount that should be reported in Del Conte’s 2024 statement of cash flows.
b. Using the list below, determine the category in which the amount should be reported in the statement of cash flows.
O. Operating activity
I. Investing activity
F. Financing activity

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Selected Balance Sheet Accounts Assets Accounts receivable Property, plant, and equipment Accumulated depreciation Liabilities and Stockholders' Equity Bonds payable Dividends payable Common stock, $1 par Additional paid-in capital Retained earnings 2024 Depreciation Gain on sale of equipment Net income $ 34,000 277,000 (178,000) 49,000 8,000 22,000 9,000 104,000 Selected Income Statement Information for the Year Ended December 31, 2024 Sales revenue $155,000 33,000 13,000 28,000 2023 $ 24,000 247,000 (167,000) 46,000 5,000 19,000 3,000 91,000 Increase (Decrease) $10,000 30,000 11,000 3,000 3,000 3,000 6,000 13,000