Houston Shoe Co.is preparing a statement of cash flows using the indirect method.Indicate on the blanks below whether each item is an operating activity (O),an investing activity (I),a financing activity (F),a noncash transaction (N),or an item that would not appear on or with Houston's statement (NA).
_____ 1.The change in Accounts Payable during the period
_____ 2.Depreciation expense
_____ 3.Exchange of stock for a building
_____ 4.Purchase of equipment
_____ 5.Purchases of treasury stock
_____ 6.Borrowing by issuing bonds
_____ 7.A gain on the sale of equipment
_____ 8.Collections from customers
_____ 9.Dividends paid
_____ 10.Income taxes paid
_____ 11.Proceeds from sale of long-term investments at a loss
_____ 12.The change in Inventory for the period

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The Answer of Houston Shoe Co.is preparing a statement of cash flows using the indirect method.Indicate on the blanks below whether each item is an operating activity (O),an investing activity (I),a financing activity (F),a noncash transaction (N),or an item that would not appear on or with Houston's statement (NA).
_____ 1.The change in Accounts Payable during the period
_____ 2.Depreciation expense
_____ 3.Exchange of stock for a building
_____ 4.Purchase of equipment
_____ 5.Purchases of treasury stock
_____ 6.Borrowing by issuing bonds
_____ 7.A gain on the sale of equipment
_____ 8.Collections from customers
_____ 9.Dividends paid
_____ 10.Income taxes paid
_____ 11.Proceeds from sale of long-term investments at a loss
_____ 12.The change in Inventory for the period