Novak Corporation is preparing its 2014 statement of cash flows, using the indirect method. Presented below is a list of items that may affect the statement. Using the code below, indicate how each item will affect Novak's 2014 statement of cash flows.
Code Letter........................................Effect
A................................................... Added to net income in the operating section
D................................................... Deducted from net income in the operating section
R-I...................................................Cash receipt in investing section
P-I...................................................Cash payment in investing section
R-F..................................................Cash receipt in financing section
P-F..................................................Cash payment in financing section
N ...................................................Noncash investing and financing activity
Items
____ (a) Purchase of land and building
____ (b) Decrease in accounts receivable.
____ (c) Issuance of stock
____ (d) Depreciation expense
____ (e) Sale of land at book value
____ (f) Sale of land at a gain
____ (g) Payment of dividends
____ (h) Increase in accounts receivable
____ (j) Increase in accounts payable
____ (i) Purchase of available-for-sale investment
____ (k) Decrease in accounts payable
. ____(l) Loan from bank by signing note
____ (m) Purchase of equipment using a note
____ (n) Increase in inventory
____ (o) Issuance of bonds
. ____ (p) Redemption of bonds payable
____ (q) Sale of equipment at a loss
____ (r) Purchase of treasury stock