Financing accounts payable accounts, finance, quarter, through

whew1110

Something is really confusing me:

If I finance my accounts payable through a short term debt, what happens to the CFO? The curriculum says two things in the shenanigans chapter - one that CFO reduces, CFF increases and on the next page it says that the CFO is inflated. How is that?

I would expect CFO to be inflated. When you finance it, CFO is unchanged and CFF increases. When you pay back in next quarter, you pay back to the bank using CFF.