Problem 1 The major classifications of activities reported in the statement of cash flows are operating, investing, and financing. Classify each of...

Problem 1The major classifications of activities reported in the statement of cash flows are operating, investing, and financing. Classify each of the transactions listed below as:1. Operating activity—add to net income.2. Operating activity—deduct from net income.3. Investing activity.4. Financing activity.5. Not reported as a cash flow.Please use the numbers to indicate your classifications of activities for your answer. The transactions are as follows.(a)