In calculating cash flows from operating activities using the indirect method, an increase in accounts payable is:

a. Deducted from net income.

b. Added to net income.

c. Not reported on a statement of cash flows.

d. Ignored because it does not affect cash.

Which of the following is considered a profitability ratio?

a. Inventory turnover ratio

b. Earnings per share

c. Debt ratio

d. Quick ratio