Lightning Electric Company uses the direct method to prepare its statement of cash flows. Lightning has reported operating expenses of $$63,000$ on its income statement for the year $2019.$ If the balance in accrued liabilities has increased by $$6,000$ during the year, then $$6,000$ needs to be added to $$63,000$ to calculate payments to suppliers for operating expenses. Accrued liabilities relate to operating expenses.

True

False