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You are given the balance sheets for year 2018 and 2019. When you construct the firms cashflow statement for 2019, in the part of operating
You are given the balance sheets for year 2018 and 2019. When you construct the firms cashflow statement for 2019, in the part of operating activities, you start with net income in 2019 and you need to make adjustments for the amount increase in accounts payable (i.e. increase from 2018 to 2019). Do you add increase in accounts payable back or deduct increase in accounts payable?
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