Indicate the effect, if any, that each separate transaction has on financing cash flows. (Select "No Effect" if there is no effect.)

1. Long-term notes payable with a carrying value of $17,800 are retired for $20,200 cash, resulting in a $2,400 loss.
2. Paid cash dividends of $13,800 to common stockholders.
3. Acquired $22,800 worth of machinery in exchange for common stock.