Reference no: EM132684817
Jill Accardo, MD, maintains the accounting records of Accardo Clinic on a cash basis. During 2020, Dr Accardo collected $ 142,600 from her patients, and paid $ 55,470 in expenses. At January 1, 2020 and December 31, 2020, she had accounts receivable, unearned service revenue, accrued expenses, and prepaid expenses as follows (All long-lived assets are rented.)
January 1, 2020 December 31, 2020
Accounts Receivable $ 9,250 $ 15,927
Unearned Service Revenue 2,840 4,111
Accrued Expenses 3,435 2,108
Prepaid Expenses 1,917 3,232
Problem 1: If Jill prepared Net Income on an "accrual basis", how much Net Income would she report for 2020?
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