Does an increase in accounts payable on the satatement a positive effect on the cash flow?

1 answer

Answer

1288893

2026-09-06 02:50

+ Follow

Increase in Accounts Payable will increase the cash inflow because if the cash is paid instead of credit purchases company has to pay cash which reduces the cash but as purchases has made on credit and no cash has to be paid that's why it has positive impact on cash flow.

ReportLike(0ShareFavorite

Copyright © 2026 eLLeNow.com All Rights Reserved.