What the amount of cash flow from operating activities

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Question - Madison Company issued an interest-bearing note payable with a face amount of $12,000 and a stated interest rate of 8% to the Metropolitan Bank on August 1, Year 1. The note carried a one-year term.

Required - What the amount of cash flow from operating activities on the Year 1 statement of cash flows?

a. 960

b. 400

c. 12,000

d. 0

Reference no: EM133141438

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