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Posted: June 15th, 2022
If a firm is able to increase their days payable from 30 days to 50 days
1. If a firm is able to increase their days payable from 30 days to 50 days without increasing the prices charged by their suppliers how is this likely to effect their Account Payable Balance, Cash Flow from NOWC and NOPAT?a. Increase Account Payable, Decrease Cash Flow from NOWC and Increase NOPAT. b. Increase Accounts Payable, Increase Cash Flow from NOWC and have no effect on NOPAT c. I don’t know d. Increase Accounts Payable, Increase Cash Flow from NOWC and Increase NOPAT
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