Exercise 16-1 Indirect: Classifying cash flows 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 Statement of Cash Flows Operating Investing Financing Activities Activities Activities Noncash Investing and Financing Activities Not Reported on Statement or in Notes Declared and paid a cash dividend. Recorded depreciation expen c. Paid cash to settle long notes payable Prepaid expenses increased in the year e Accounts receivable decreased in the year Purchased land by issuing common stock Inventory increased in the year A Sold equipment for cash, yielding a Accounts payable deceased in t Income taxes payable increased i