the following data are taken from the cash - basis accounting records of myerson company for the year ended…

the following data are taken from the cash - basis accounting records of myerson company for the year ended december 31, 2024: selected data as of december 31, 2024 customers billed in 2024 for services provided in 2024 $470,000 cash collections in 2024 for accounts billed in 2023 22,000 cash collections in 2024 for accounts billed in 2024 210,000 cash paid for supplies purchased in 2024 16,000 supplies remaining at the end of 2024 2,500 cash paid for salaries in 2024 13,500 cash paid for annual rent on march 1, 2024 24,000 required: calculate the amount of revenues and expenses for 2024 under cash - basis accounting. cash - basis revenues cash - basis expenses

the following data are taken from the cash - basis accounting records of myerson company for the year ended december 31, 2024: selected data as of december 31, 2024 customers billed in 2024 for services provided in 2024 $470,000 cash collections in 2024 for accounts billed in 2023 22,000 cash collections in 2024 for accounts billed in 2024 210,000 cash paid for supplies purchased in 2024 16,000 supplies remaining at the end of 2024 2,500 cash paid for salaries in 2024 13,500 cash paid for annual rent on march 1, 2024 24,000 required: calculate the amount of revenues and expenses for 2024 under cash - basis accounting. cash - basis revenues cash - basis expenses

Answer

Explanation:

Step1: Calculate cash - basis revenues

Cash - basis revenues include cash collections for services provided in 2024 and cash collections for accounts billed in 2023. $22000 + 210000=$232000$

Step2: Calculate cash - basis expenses

Cash - basis expenses include cash paid for supplies, salaries and rent. $16000+13500 + 24000=$53500$

Answer:

Cash - basis revenues: $$232000$ Cash - basis expenses: $$53500$