A company reported net income for the year of $100 million, but cash flow from operations was $120 million, the difference between net income and cash flow from operations most likely occurred because, during the year, the company:

A.Increased inventory levels in anticipation of sales of a new product.

B.Took advantage of substantial trade discounts and paid down trade accounts faster than in previous years.

C.Tightened its credit policies and increased collection efforts.