Question: Following up , we then bring in changes in current assets, like inventory, and current liabilities, like accounts payable. Which of the following best describes
Following up we then bring in changes in current assets, like inventory, and current liabilities, like accounts payable. Which of the following best describes the effect of
those changes?
Increases in inventory decrease cash flows and increases in accounts payable increase cash flows
Increases in inventory increase cash flows and increases in accounts payable decrease cash flows
Increases in inventory decrease cash flows and increases in accounts payable also decrease cash flows
Increases in inventory increase cash flows and increases in accounts payable also increase cash flows
Increases in inventory and increases in accounts payable do not affect cash flows
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