Part 1) Please indicate which section of the statement of cashflows should contain each of the following items, and whether eachitem would result in an inflow or outflow of cash. The sections areOperating, Investing, and Financing. (30 points) (a) Increase inaccounts receivable (b) Purchase of a factory with cash (c)Depreciation of a building (d) Retirement of bonds with cash (e)Receipt of cash dividends Part 2) Explain how to calculate freecash flow and the importance of free cash flow to investors.
