If $420,000 of Bonds Are Issued During the Year and $130,000

If $420,000 of bonds are issued during the year and $130,000 of bonds are retired during the year, the statement of cash flows (indirect method) will show a(n) :

A) net gain on retirement of bonds of $290,000 in the financing activities section.
B) increase in cash of $420,000 in the financing activities section and a decrease in cash of $130,000 in the financing activities section.
C) net increase in cash of $290,000 in the operating activities section.
D) net decrease in cash of $290,000 in the operating activities section.