In order to determine net cash provided by operating activities, net income is adjusted by, among other things, changes in current assets and current liabilities as follows (in millions):


	Three Months Ended March 31,
	2024		2023
Decrease (increase) in current assets:
Receivables, net	$	257	$	2,381
Inventories	(356)		(641)

Prepaid expenses and other	86		(37)
Increase (decrease) in current liabilities:
Accounts payable	(130)		(2,269)
Accrued expenses	(163)		(61)
Taxes other than income taxes payable	(102)		(23)
Income taxes payable	248		116
Changes in current assets and current liabilities	$	(160)	$	(534)

Changes in current assets and current liabilities for the three months ended March 31, 2024 were primarily due to the following:

•The decrease in receivables was primarily due to a decrease in refined petroleum product sales volumes in March 2024 compared to December 2023, partially offset by an increase in related prices; and

•The increase in inventories was due to an increase in inventory volumes valued at higher unit prices in March 2024 compared to December 2023.

Changes in current assets and current liabilities for the three months ended March 31, 2023 were primarily due to the following:

•The decrease in receivables was primarily due to a decrease in refined petroleum product sales volumes in March 2023 compared to December 2022;

•The increase in inventories was due to an increase in inventory volumes valued at higher unit prices in March 2023 compared to December 2022; and

•The decrease in accounts payable was due to a decrease in crude oil and other feedstock volumes purchased combined with a decrease in related prices in March 2023 compared to December 2022.


	Three Months Ended March 31,
	2024		2023
Interest paid in excess of amount capitalized, including interest on finance leases	$	100	$	82
Income taxes paid, net	103		616

Supplemental cash flow information related to our operating and finance leases was as follows (in millions):


	Three Months Ended March 31,
	2024				2023
	Operating Leases		Finance Leases		Operating Leases		Finance Leases
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows	$	124	$	29	$	102	$	27

Financing cash flows	—		56		—		49
Changes in lease balances resulting from new and modified leases	153		186		67		47

Noncash financing activities for the three months ended March 31, 2024 included the conversion by IEnova of $457 million of outstanding borrowings under the IEnova Revolver to additional equity in Central Mexico Terminals, as described in Note 4. There were no other significant noncash investing and financing activities during the three months ended March 31, 2024, except as noted in the table above.

There were no significant noncash investing and financing activities during the three months ended March 31, 2023, except as noted in the table above.