Dunbarn Co. had the following activities during the year: Purchase of inventory - $120,000 Purchase of equipment - 80,000 Purchase of available-for-sale securities - 60,000 Purchase of treasury stock - 70,000 Issuance of common stock - 150,000 What amount should Dunbarn report as cash provided (used) by investing activities in its statement of cash flows for the year?A. $(120,000)
B. $(210,000)
C. $150,000
D. $(140,000)

A. ($210 000) cash used

Explanation:

Purchase of Equipment = $80 000

Purchase of securities = $60 000

Purchase of Treasury stock = $ 70 000

common stock issued = $150 000

Cash used by investing activities = (- 80 000 - 60 000 - 70 000)

Cash used by investing activities  =  (210 000)

.The purchase of inventory falls under operating activities,therefore we donot include the amount of $120 000 in investing activities

.Issuance of common stock does not generate a cash flow. The cash flow will recognized when there are share issue costs paid in cash or when the company receives cash raised from the issue of shares

D) $(140,000)

Explanation:

Cash flows are divided into three main areas:

answer90,000;

answer(b) gdp is not affected by

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