Answer:
The $8 million is the amount which should Carter report as net cash from investing activities.
Explanation:
Cash flow from investing activities : It includes all types of transactions whether it is a sale or purchase of fixed assets and intangible assets.
So, the net cash flow amount from investing activities is equals to
= Sale of marketable securities + Sale of land - Purchase of equipment - purchase of patent
= $30 million + $15 million - $25 million - $12 million
= $8 million
The sale of common stock and purchase of treasury stock is a part of financing activities. Hence, it is not considered in the computation part.
Thus, the $8 million is the amount which should Carter report as net cash from investing activities.
