All Else Held Constant, Which of These Statements Is Correct

All else held constant, which of these statements is correct concerning the accounts payable period?

A) The accounts payable period is equal to 360/(Sales/Average accounts payable) .
B) A decrease in the accounts payable period will increase the operating cycle.
C) An increase in the accounts payable period will decrease the cash cycle.
D) A decrease in the accounts payable period will decrease the operating cycle.
E) An increase in the accounts payable turnover rate decreases the cash cycle.

Correct Answer:

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