If $250,000 of Bonds Are Issued During the Year but $100,000

question 85

Multiple Choice

If $250,000 of bonds are issued during the year but $100,000 of old bonds are retired during the year, the statement of cash flows will show a(n)

• A) net increase in cash of $150,000.
• B) net decrease in cash of $150,000.
• C) increase in cash of $250,000 and a decrease in cash of $100,000.
• D) net gain on retirement of bonds of $150,000.

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