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Which of the following statements is true? A. Carrying costs are the costs incurred from shortages in current assets. B. An increase in current liabilities

Which of the following statements is true?

A. Carrying costs are the costs incurred from shortages in current assets.

B. An increase in current liabilities is a source of cash for the firm.

C. Shortage costs are the costs of maintaining current assets.

D. If a firm increases its accounts payable period, other things equal, it increases the operating cycle.

E. All of the above.

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