Use the Following Information for Questions 102 and 103

Multiple Choice

Use the following information for questions 102 and 103.
A flood damaged a building and contents. Floods are unusual and infrequent in this area. The receipts from insurance companies totaled $500,000, which was $150,000 less than the book values. The tax rate is 30%.
-On the statement of cash flows (indirect method) , the receipts from insurance companies should

A) be shown as an addition to net income of $350,000.
B) be shown as an inflow from investing activities of $350,000.
C) be shown as an inflow from investing activities of $500,000.
D) not be shown.