During the last year of operations, Theta’s accounts receivable increased by $18

Question

During the last year of operations, Theta’s accounts receivable increased by $18,000, accounts payable increased by $9,000, and inventories decreased by $3,600. What is the total impact of these changes on the difference between profits and cash flow? (Input your answer as a positive value.)

During the last year of operations, Theta’s accounts receivable increased by $18,000, accounts payable increased by $9,000, and inventories decreased by $3,600. What is the total impact of these changes on the difference between profits and cash flow? (Input your answer as a positive value.)

Explanation / Answer

Particular Amount(in$) Increase in Account Receivable -18000 Increase in account payable 9000 Decrease in Inventory 3600 Net Cash Flow -5400 Cash from investing activity is short of $ 5400

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