Final answer:
In Red's year 8 statement of cash flows, net cash used in investing activities would be $48,500.
Step-by-step explanation:
Net cash used in investing activities is the sum of cash used in acquiring long-term assets. In this case, the bond investment and the stock investment are both long-term assets and are considered investing activities. To calculate the net cash used in investing activities, we add up the cash used for the investing activities and deduct the cash received from the investing activities:
$40,000 (bond investment) + $8,500 (stock investment) - $0 (cash received from investing activities) = $48,500
Therefore, the net cash used in investing activities in Red, Inc.'s year 8 statement of cash flows is $48,500.