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Use the Information Given Below to Answer the Following Questions

Question 3

Multiple Choice

Use the information given below to answer the following questions:
During the year, Penso Ltd received $50 000 from its customers, $5000 for the sale of a motor vehicle and $20,000 for the issue of shares. It paid $27,000 to suppliers and employees, $3000 for income tax and $50,000 for new machinery. In addition, it paid out $12 000 to redeem bonds. Its cash balance at the commencement of the year was $22,000.
-What were the cash flows from investing activities?


A) $8000
B) $45 000
C) ($45 000)
D) ($48,000) .

Correct Answer:

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