If a Company's Accounts Payable Has Increased Over a Year

question 79

True/False

If a company's accounts payable has increased over a year, it is an indication that the company is buying more goods.

---

Definitions:

Cost Structure

The composition of a company's costs, including fixed and variable costs, and how they affect overall expenditure.

Minimum Quantities

The smallest amount of a product that can be ordered, produced, or maintained in inventory.

Maximized Total Cost

Refers to the highest possible sum of all costs associated with a certain process, project, or production activity.

Raw Materials

The basic, unprocessed resources or inputs used in the production of goods and services.