Financing Activities

6) Timothy Company provided the following transactions for the year ended December 31, 2020:

Acquired 50% of Carlo Companys share for P1,800,000 cash which was borrowed from a bank.

Issued 5,000 shares for land having a fair value of P3,200,000.

Issued 5,000 11% debenture bonds with P1,000 face amount, due 2025, for P3,920,000 cash.

Purchased a patent for P2,200,000 cash.

Paid P1,200,000 toward a bank loan.

Sold financial asset at FVOCI for P800,000.

Had net increase in advances from customer of P880,000.

What amount should be reported as net cash from financing activities?

A. 4,520,000

B. 5,400,000

C. 2,720,000

D. 6,600,000