Smiley Corporation's transactions for the year ended December 31, 2020 included the following: Purchased real estate for P550,000 cash which was borrowed from a bank. Sold available-for-sale investments for P500,000. Paid dividends of P600,000. Issued 500 ordinary shares for P250,000. Purchased machinery and equipment for P125,000 cash. Paid P450,000 toward a bank loan. Reduced accounts receivable by P100,000. Increased accounts payable by P200,000.

1) Smiley's net cash used in investing activities for 2020 was A. 675,000 B. 375,000 C. 175,000 D. 50,000

2) Smiley's net cash used in financing activities for 2020 was A. 50,000 B. 250,000 C. 450,000 D. 500,000

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