MNO Reported Net Income of $42,000 for the Reporting Period

MNO reported net income of $42,000 for the reporting period ended December 3, 2011. MNO's records provided the following information: $$\begin{array} { | l | l | } \hline \text { Decrease in accounts payable } & \$ 5,000 \\\hline \text { Depreciation expense } & \$ 6,000 \\\hline \text { Amortiz ation of premium on bonds payable } & \$ 500 \\\hline \text { Declared a cash dividend } & \$ 2,000 \\\hline \text { ncrease in inventory } & \$ 3,000 \\\hline \text { Decrease in accounts receivable } & \$ 8,000 \\\hline \text { increase in income tax payable } & \$ 1,000 \\\hline \text { Decrease in long-term debt principal } & \$ 10,000 \\\hline\end{array}$$ The net cash flow from operating activities was:

A) $36,500.
B) $38,500.
C) $46,500.
D) $49,500.