Rowdy's would report net cash inflows (outflows)from investing activities in the amount of:
A)$(4,000).
B)$ 100.
C)$(3,900).
D)$(1,900).

Question

Quizplus · Accepted Answer

Rowdy's sold a truck for $4,000 which is a cash inflow from investing activities. However, they also purchased a new truck for $7,900 which is a cash outflow from investing activities. Therefore, the net cash inflow (outflow) from investing activities would be $4,000 - $7,900 = $(3,900). Thus, option C is correct.

Rowdy's Would Report Net Cash Inflows (Outflows)from Investing Activities in the Amount