Entity L reported net income of $125,000 for the current year and uses the indirect method to report operating activities cash flow. Accounts Receivable increased by $12,000 during the year. Choose the appropriate category on the statement of cash flows to report the increase in Accounts Receivable. Cash Flows From Operating Activities-Add to Net Income Cash Flows From Operating Activities-Deduct from Net Income Cash Flows From Investing Activities Cash Flows From Financing Activities Non-cash