Question

Saved The following data are taken from the cash-basis accounting records of Myerson Company for the year ended December 31, 2021: Selected Data as of December 31, 2021 Customers billed in 2021 for services provided Cash collections in 2021 for accounts billed in 2020 Cash collections in 2021 for accounts billed in 2021 Cash paid for supplies purchased in 2021 Supplies remaining at the end of 2021 Cash paid for salaries in 2021 Cash paid for annual rent on March 1, 2021 $400,000 25,000 280,000 14,000 2,400 10,500 23,000 Calculate the amount of revenues and expenses for 2021 under accrual basis accounting (Round your final answers to the nearest whole dollar) Accrual basis revenues Accrual basis expenses

Answer 1

Accrual-basis revenues	$ 400,000
Accrual-basis expenses	$ 41,267

Calculations:

Accrual basis revenues
Customer billed in 2021 for services provided	$ 400,000

Accrual-basis expenses
Supplies expense [$14,000 - $2,400]	$ 11,600
Salaries expense	$ 10,500
Rent expense [$23,000 x 10/12]	$ 19,167
Total	$ 41,267