Determine how the following scenarios affect the firm's cash position. Identify whether the scenario describes a financing, investing, or operating activity (as defined on the Statement of Cash Flows).
Sell a tract of land it has held for years Pay preferred stock dividends Increase accrued liabilities Sell some old equipment Issue shares of common stock Increase inventory holdings Buy property for a future factory
Now, indicate which of the scenarios above are expected to increase a company's cash flow.
A) Pay preferred stock dividends
B) Buy property for a future factory
C) Issue shares of common stock
D) Increase accrued liabilities
E) Sell some old equipment