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Ghc318
Feb 6, 2010, 01:09 PM
Pension expense exceeds amount funded- Operating add to Net Income
Redemption of Bonds Payable- Financing
Sale of Building at book Value- Investing
Depreciation- Operating add to Net Income
Exchange equipment for Furniture- non cash activity
Issuance of Capitol Stock- Financing
Amitorization of Intangible Assets- Operating add to Net Income
Purchase of Treasury Stock- Financing
Issuance of bonds for Land- non cash activity
Payment of Dividends- Financing
Increase in interest recievable on notes recievable-Operating subtract from Net Income
purchase of Equipment-Investing

There are a few I know I'm having problems with but I came up with these classifications for these items using the indirect method.

morgaine300
Feb 6, 2010, 07:08 PM
These are all correct, except I don't know about the pension thing. Pensions are a more advanced topic so I don't understand the accounting behind them. If I don't know the accounting behind it, a little difficult for me to know where it goes.