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Badabing only makes cash sales to its customers and pays all expenses in cash as incurred. During the year, sales were $53,000, and expenses were

  1. Badabing only makes cash sales to its customers and pays all expenses in cash as incurred. During the year, sales were $53,000, and expenses were $42,000. What is the total impact on the financial position for the company as a result of operations during the past year?
  2. Badabing only makes credit sales to its customers and pays all expenses in cash as incurred. During the year, sales were $35,000, and expenses were $23,000. Collections from customers were $33,000. What is the total impact on the financial position for the company as a result of operations during the past year?

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