The Oak Lodge had the following selected transactions during August:

Aug. 1 Prepaid rent for three months, \(\$ 3,000\).

5 Paid electricity expenses, \(\$ 700\).

9 Received cash for the day's room rentals, \(\$ 1,400\).

14 Purchased six television sets, \(\$ 3,000\).

23 Served a banquet, receiving a note receivable, \(\$ 1,200\).

31 Made the adjusting entry for rent (from Aug. 1).

31 Accrued salary expense \(\$ 900\).

Show how each transaction would be handled using the cash basis and the accrual basis. Under each column give the amount of revenue or expense for August. Journal entries are not required. Use the following format for your answer, and show your computations:

Transcribed Image Text:

Date Oak Lodge-Amount of Revenue or Expense for August Cash Basis Accrual Basis