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Suppose the timing and dollar amounts of invoices are similar across months, and six months ago the amount of the backlog of suspended invoices increased.

Suppose the timing and dollar amounts of invoices are similar across months, and six months ago the amount of the backlog of suspended invoices increased. If the amount of the backlog persisted over time, the most likely statement about the current month end accounts payable balance is that it:

May include invalid invoice amounts

Represents the actual balance accurately

Overstates the actual balance

Understates the actual balance

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