Question: Sources and Uses. For the year just ended, you have gathered the following information on the Holly Corporation:
a. A $200 dividend was paid.
b. Accounts payable increased by $500.
c. Fixed asset purchases were $900.
d. Inventories increased by $625.
e. Long-term debt decreased by $1,200. Label each item as a source or use of cash and describe its effect on the firm's cash balance.