A company uses the direct method to prepare the statement of cash flows. It presents the following data on its financial statements: Which of the following is correct about salaries payable in the operating activities category of the cash flow statement? The increase of $4,000 will be subtracted from net income. 3. The increase of $4,000 will be added to net income. C. The increase of $4,000 will be added to salary expense to determine payments to employees. D. The increase of $4,000 will be subtracted from salary expense to determine payments to employee