One company's Balance Sheet shows a huge increase in its Inventory in the current year compared with the previous year. Which of the following analyses can be considered wrong? Group of answer choices 1. The increase of Inventory may have temporarily increased its Account Payable (if the payment for the purchases has not been made). 2. The increase of Inventory must have had a negative impact on its cash flows during the current year. 3. The increase of Inventory indicates that the company has spent a lot in its Cost of Sales during the current year; and it must have caused huge decrease of Net Profit. 4. The increase of Inventory may indicate that the company is preparing for an expansion of its operations.