Cash from operating activities will decrease due to :

Both option 1 and 2

The correct answer is option 4- Both option 1 and 2.

Cash flows from operating activities primarily stem from the core operations of the business. They mainly arise from transactions and events that contribute to the determination of net profit or loss.

If balance of a current liability increases, or balance of current asset decreases, Cash flow from operations will increase. If balance of a liability decreases and balance of current assets increases, cash flow from operations will decrease.