Question 4 (1 point) Saved Brenda Ltd.'s dividends payable account increased $10,000 during the year. Brenda Ltd. also declared $35,000 of dividends. What is the complete disclosure in the direct method Statement of Cash Flows for these events? a) $25,000 financing cash outflow; $10,000 addition reconciling item b) $25,000 financing cash outflow Oc) $45,000 financing cash outflow d) $25,000 financing cash outflow; $10,000 subtraction reconciling item e) $35,000 financing cash outflow Page Question 5 (1 point) The amortization of patents should be presented on a Statement of Cash Flows as: O a) Addition to net income in the adjustments to reconcile net income to cash from operating activities b) Inflow and outflow of cash c) Deduction to net income in the adjustments to reconcile net income to cash from operating activities d) Outflow of cash d The following events affecting property, plant and equipment, and intangible assets, occurred during the current year for Annies Ltd: (i.) Purchased equipment for $50,000. (ii.) Successfully defended a patent infringement suit costing the firm $60,000 in legal fees this year; as a result, the firm has sole rights to the patent. (iii.) Capitalized and paid $30,000 of interest on a building under construction which is to house the firm's new offices. (iv.) Received $100,000 in casualty insurance proceeds as a result of fire damage to one of the firm's factories. What is the net effect on investing cash flow of the above transactions for the current year? a) $40,000 decrease b) $10,000 increase Oc) $140,000 decrease d) $110,000 decrease