Homework Answers
| a) | Net loss as per cash method | |
| Sales Revenue | $ 40,000 | |
| Less: | ||
| Supply Expenses | $ 2,200 | |
| labor cost | $ 38,000 | |
| Loss | $ 200 | |
| b) | Taxable Income Under Accrual Method | |
| Sales Revenue | $ 50,000 | |
| Less: | ||
| Supply Expenses | $ 3,000 | |
| labor cost | $ 41,000 | |
| Taxable Income | $ 6,000 | |
| Let me know your queries. Please upvote. | ||
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issued.
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