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The starting balance and the ending balance of the Merchandise Inventory account are $ 125,000 and $ 160,000 respectively. In which section of the Statement

The starting balance and the ending balance of the Merchandise Inventory account are $ 125,000 and $ 160,000 respectively. In which section of the Statement of Cash Flows is this transaction reported and what amount is reported? Is the corresponding figure added or subtracted?

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