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What the statement of cash flows will show

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Problem 1: If $2600000 of bonds are issued during the year but $4160000 of old bonds are retired during the year, the statement of cash flows will show a(n)

Option 1: net decrease in cash of $1560000.

Option 2: net loss on retirement of bonds of $1560000.

Option 3: net increase in cash of $1560000.

Option 4: increase in cash of $2600000 and a decrease in cash of $4160000.

Reference no: EM132969492

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