Beginning retained earnings is $ 25,000 and ending retained earnings is $ 38,000. If net income for the year is $20,000 how much was paid out in dividends and how does it impact the cash flow statement?

A) $ 33,000 and a decrease in net cash flow under operating activities

B)$ 7,000 and a decrease in net cash flow under financing activities

C) $ 7,000 and an increase in net cash flow under financing financing activities

D) 33,000 and a decrease in net cash flow under financing activities