Ryman Company reported inventory of $2.3 million in 2018 and $3.1 million in 2019 in addition, its accounts payable were $1 million in 2018 and $2.1 million in 2019. What is the effect of the changes in these account balances on cash flows from operating actuities?
Multiple Choice
A. The increase in inventory and trade payable would increase the cash flow
B. The increase in inventory would increase cash flow while the increase in trade payables would decrease cash flow
C. The increase in inventory and trade payable would decrease the cash flow
D. The increase in inventory would decrease cash flow white the increase in trade payables would increase cash flow

Q&A Education