Selected information from Brook Corporation’s accounting records and financial statements for 2007 is as follows:
Net cash provided by operating activities ………………….$1,500,000
Mortgage payable issued to acquire land and building ………1,800,000
Common stock issued to retire preferred stock ………………..500,000
Proceeds from sale of equipment ………………………………400,000
Cost of office equipment purchased …………………………..200,000
On the statement of cash flows for the year ended December 31, 2007, Brook should disclose a net increase in cash in the amount ofa. $1,700,000
b. $2,400,000
c. $3,700,000
d. $4,200,000