An increase in accounts payable would be considered:
A)a source of cash.
B)a use of cash.
C)an adjusting entry.
D)a noncash charge to income.

Name: An increase in accounts payable would be considered: A)a source of cash. B)a use of cash. C)an adjusting entry. D)a noncash charge to income.
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Question

Quizplus · Accepted Answer

An increase in accounts payable indicates that a company has purchased goods or services on credit, which increases its cash flow because it is using supplier credit instead of immediate cash payment.

An Increase in Accounts Payable Would Be Considered