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The following items relate to the preparation of a statement of cash flows:
All accounts payable relate to trade merchandise. Accounts payable are recorded net and always are paid to take all of the discount allowed. The proceeds from the note payable were used to finance a new store building. Capital stock was sold to provide additional working capital. Under financing activities, cash inflows during year 2 totaled A. $400,000 B. $ 70,000 C. $150,000 D. $250,000 |