Upon review of Mazaroli's statement of cash flows, the following was noted:

Cash flows from operating activities $70 000

Cash flows from investing activities (135 000)

Cash flows from financing activities 115 000

From this information, the most likely explanation is that Mazaroli is using:

		profits to expand growth
		cash from operations and borrowing to purchase non-current assets
		cash from operations and selling non-current assets to pay back debt
		cash from investors to provide for operations