Meriwhether Chemicals experienced an increase in its accounts receivable balance for the year just ended. This will

Question:

Meriwhether Chemicals experienced an increase in its balance for the year just ended. This will be reported as a use of cash in the firm's cash flow statement. How is it that an increase in an asset such as represents a use of cash?
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...