Question

fill in the blank question

a decrease in accounts payable will result in a(n) blank to net cash flow from operating activities. (enter one word per blank.)

Explanation:

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],
"new_concepts": [
"Statement of Cash Flows",
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"Balance Sheet Accounts",
"Statement of Cash Flows",
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<reasoning>

Identify the transaction and account type

The question asks about the effect of a decrease in Accounts Payable on the net cash flow from operating activities. Accounts Payable is a current liability on the balance sheet.

Analyze the cash flow impact

Under the indirect method of preparing the statement of cash flows, we reconcile net income to net cash provided by operating activities. A decrease in Accounts Payable means the company paid off its obligations to suppliers using cash. This cash outflow reduces the net cash flow from operating activities.

Determine the adjustment direction

Using the Balance Sheet Accounts concept, changes in current liabilities have a direct relationship with cash flows. A decrease in a current liability (Accounts Payable) represents a cash outflow, which requires a subtraction or deduction from net income to arrive at net cash flow from operating activities. Therefore, a decrease in Accounts Payable results in a deduction.
</reasoning>

<answer>
A decrease in Accounts Payable will result in a(n) <blank>deduction</blank> to net cash flow from operating activities. (Enter one word per blank.)
</answer>

<post_analysis>
{
"subject": "Business",
"question_type": "Fill-in-the-blank",
"knowledge_point": [
"Business",
"Accounting",
"Statement of Cash Flows"
]
}
</post_analysis>

Answer:

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"step_cot",
"blank_filling_formatter",
"explain_then_answer",
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"Balance Sheet Accounts"
],
"new_concepts": [
"Statement of Cash Flows",
"Operating Activities",
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],
"current_concepts": [
"Balance Sheet Accounts",
"Statement of Cash Flows",
"Operating Activities",
"Indirect Method Adjustments"
]
}
</pre_analysis>

<reasoning>

Identify the transaction and account type

The question asks about the effect of a decrease in Accounts Payable on the net cash flow from operating activities. Accounts Payable is a current liability on the balance sheet.

Analyze the cash flow impact

Under the indirect method of preparing the statement of cash flows, we reconcile net income to net cash provided by operating activities. A decrease in Accounts Payable means the company paid off its obligations to suppliers using cash. This cash outflow reduces the net cash flow from operating activities.

Determine the adjustment direction

Using the Balance Sheet Accounts concept, changes in current liabilities have a direct relationship with cash flows. A decrease in a current liability (Accounts Payable) represents a cash outflow, which requires a subtraction or deduction from net income to arrive at net cash flow from operating activities. Therefore, a decrease in Accounts Payable results in a deduction.
</reasoning>

<answer>
A decrease in Accounts Payable will result in a(n) <blank>deduction</blank> to net cash flow from operating activities. (Enter one word per blank.)
</answer>

<post_analysis>
{
"subject": "Business",
"question_type": "Fill-in-the-blank",
"knowledge_point": [
"Business",
"Accounting",
"Statement of Cash Flows"
]
}
</post_analysis>