Exercise 12-1 Indirect: Cash flow classification LO C1 Indicate where each item would appear on a statement of cash flows using the indirect method by placing an X in the appropriate column(s). (More than one column may be used.) Not Statement of Cash Flows Noncash Investing - & Operatingvesting FinancingFinancing ActivitiesActivities Activities Activities Reported on Statement or in Notes a. Declared and paid a cash dividend b. Recorded depreciation expense Paid cash to settle long-term note payable w Prepaid expenses increased in the "year Accounts receivable decreased in the year Purchased land by issuing common stock g. Inventory increased in the year Sold equipment for cash, yielding "a loss Accounts payable decreased in the year : Income taxes payable increased Jilin the year