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When converting from a accrual to cash basis, why is an increase in account receivable deducted? How does this work for unearned rent? Decrease in
When converting from a accrual to cash basis, why is an increase in account receivable deducted? How does this work for unearned rent? Decrease in salary payable = outflow of cash = deduct Increase in S/P = no outflow = add Decrease in inventory = inflow of cash = add Increase in inventory = outflow of cash = deduct
Decrease in salary payable = outflow of cash = deduct
Increase in S/P = no outflow = add
Decrease in inventory = inflow of cash = add
Increase in inventory = outflow of cash = deduct
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