Under the indirect method, when accounts receivable decrease during the period, Question 8 options: revenues on a cash basis are less than revenues on an accrual basis. to convert net income to net cash provided by operating activities, the decrease in accounts receivable must be added to net income to convert net income to net cash provided by operating activities, the decreasein accounts receivable must be subtracted from net income. revenues on an accrual basis are greater than revenues on a cash basis.