Cash-basis and accrual-basis net income

Reference no: EM13121819

Conan Industries collected $108,924 from customers in 2010. Of the amount collected, $27,295 was from revenue earned on account in 2009. In addition, Conan earned $39,092 of revenue in 2010, which will not be collected until 2011.

Conan Industries also paid $71,411 for expenses in 2010. Of the amount paid, $33,331 was for expenses incurred on account in 2009. In addition, Conan incurred $42,259 of expenses in 2010, which will not be paid until 2011.

Instructions

(a) Compute 2010 cash-basis net income.

(b) Compute 2010 accrual-basis net income.

Reference no: EM13121819

Questions Cloud

Calculate the trust accounting income : The trustee made distributions of $8,400 to Linda and $16,000 to Lucy. The trust and both beneficiaries are cash basis, calendar year taxpayers. Calculate the trust's accounting income.

Find personal checking account customers carry : In addition, the average daily balances have been found to be normally distributed (Gaussian). What percentage of personal checking account customers carry average daily balances in excess of $800?

Make a table showing the probability distribution function : Make a table showing the probability distribution function(pdf) and cumulative distribution function (cdf) for X. Hint: draw a probability tree modeling the game.

Estimate the wall stress : Normal dimensions of the human heart for a live persons can be determined noninvasively using magnetic resonance imaging (MRI) or two dimensional echocardiography (2DE). (S.Kaul, et al., Measurement of normal left heart dimensions using optimally ..

Cash-basis and accrual-basis net income : Conan Industries also paid $71,411 for expenses in 2010. Of the amount paid, $33,331 was for expenses incurred on account in 2009. In addition, Conan incurred $42,259 of expenses in 2010, which will not be paid until 2011.

Determine probability to receive a grade : The probability Mary will receive an A in a class is 0.70. Assuming independence, if she is taking 5 classes this semester, calculate the probability she will receive exactly 3 A's.

What is the hematocrit : A patient`s blood was centrifugated in a capillary tube. The total height of the column blood was 3.5 cm and the column of packed cells was 1.8 cm. Analysis of hole blood gave a hemoglobin concentration of 12 g%, and counting the RBCs in a hemacyt..

What is a survey? : What is a survey? What is the purpose of a survey? Give examples of types of surveys or particular surveys used in psychological research.

Probability density function sample question : Probability density function sample question, Let E be the event that the number which comes up when a single die is tossed is divisible by 3. Let X be the number of times that event E occurs in 3 tosses of the die

User Account

All Pages