Question: An increase in accounts payable represents an increase in net cash provided by operating activities just like borrowing money from a bank. An increase in

An increase in accounts payable represents an increase in net cash provided by operating activities just like borrowing money from a bank. An increase in accounts payable has an effect similar to taking out a new bank loan. However, these two items show up in different sections of the statement of cash flows to reflect the difference between operating and financing activities.

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