Select transactions of SimBis Accounting Inc. (SAI)are listed below. SAI uses the indirect method to determine cash flows from operating activities.
1. SAI purchases a $200,000, 45-day Treasury bill and classified it at FVPL.
2. SAI amortizes $32,000 of the discount on bonds payable.
3. At year-end SAI increases its allowance for bad debts by $10,000.
4. SAI's income tax expense totaled $40,000. Its income tax payable account increased $5,000, while its deferred income tax liability account decreased $8,000.
5. SAI acquires the right to use equipment valued at $80,000 under a lease agreement.
6. SAI declares and distributes a stock dividend valued at $33,000.
7. SAI declares a cash dividend of $30,000. The dividends payable account increases $15,000.
8. SAI's comprehensive income for the year totaled $200,000 consisting of $150,000 net income and $50,000 other comprehensive income.
9. SAI sells an investment at amortized cost for $22,000. The investment's amortized cost is $20,000.
Required:
Discuss how the activities listed above would be reported in the statement of cash flows. For items with multiple reporting options, identify all available options. For items not reported on the statement of cash flows, indicate the disclosure requirements, if any.

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The Answer of Select transactions of SimBis Accounting Inc. (SAI)are listed below. SAI uses the indirect method to determine cash flows from operating activities.
1. SAI purchases a $200,000, 45-day Treasury bill and classified it at FVPL.
2. SAI amortizes $32,000 of the discount on bonds payable.
3. At year-end SAI increases its allowance for bad debts by $10,000.
4. SAI's income tax expense totaled $40,000. Its income tax payable account increased $5,000, while its deferred income tax liability account decreased $8,000.
5. SAI acquires the right to use equipment valued at $80,000 under a lease agreement.
6. SAI declares and distributes a stock dividend valued at $33,000.
7. SAI declares a cash dividend of $30,000. The dividends payable account increases $15,000.
8. SAI's comprehensive income for the year totaled $200,000 consisting of $150,000 net income and $50,000 other comprehensive income.
9. SAI sells an investment at amortized cost for $22,000. The investment's amortized cost is $20,000.
Required:
Discuss how the activities listed above would be reported in the statement of cash flows. For items with multiple reporting options, identify all available options. For items not reported on the statement of cash flows, indicate the disclosure requirements, if any.

Select Transactions of SimBis Accounting Inc