Jules & Associates had the following information available related to revenues and expenses for the current period: Services provided for cash - $123,000 Services provided on account - $240,000 Expenses paid in cash - $140,000 Expenses incurred on account - $42,000 Assuming no subsequent collection or payment for revenues and expenses on account, what is Jules & Associates net income under both the cash and accrual basis of accounting?

Respuesta :

Answer:

Net income in cash = -$17,000

Net income of accounting= $ 198,000

Explanation:

 $123,000 service provided for cash

-$140,000 Expenses paid in Cash

= -$17,000 Net income in cash

$240,000  Services provided on account

-$42,000  Expenses on account

=$198.000 Net Income of accounting