Based on the following facts, please prepare an Excel or Google spreadsheet to calculate the amount of taxable business profit $($gross income minus deductible business expenses$)$ that Stephen's sole proprietorship $($ECR$)$ will earn in $2023$ if ECR uses the cash method of accounting. Then, please use the same Excel or Google spreadsheet to recalculate the amount of taxable business profit that ECR will earn in $2023$ if ECR uses the accrual method of accounting.

On July $1,2023,$ Stephen started a sole proprietorship called ECR $($which stands for electric car repair$).$ ECR has the following financial information for $2023$:

ECR collected $$81,000$ in cash for repairs completed during $2023$ and an additional $$3,200$ in cash for repairs that will commence in $2024.$

At December $31,2023,$ customers owe ECR $$14,300$ for repairs completed in $2023,$ and while Stephen isn$$t sure which bills will eventually be paid, he expects to collect all but about $$1,900$ of these revenues in $2024.$

ECR has made the following expenditures during $2023$:

Interest expense $ $1,250$

Shop rent $($$$1,500$ per month$)27,000$

Utilities $1,075$

Contract labor $8,250$

Compensation $21,100$

Liability insurance premiums $($$$350$ per month$)4,200$

Term life insurance premiums $($$$150$ per month$)1,800$

ECR borrowed $$54,000$ on July $1,2023.$ ECR used half of the loan to pay for $18$ months of shop rent and Stephen used the remainder to upgrade his personal wardrobe. The interest expense of $$1,250$ on the loan was paid on December $31,2023,$ and consists of interest accrued over the period July $1,2023$ through December $31,2023.$

On July $1,2023,$ ECR purchased $12$ months of liability insurance to protect against liability should anyone be injured in the shop.

ECR has only one employee $($the remaining workers are contract labor$),$ and this employee thoroughly understands how to repair an electric propulsion system. On November $1,2023$ ECR purchased a $12-$month term$-$life policy that insures the life of this $$key$$ employee. ECR paid Gecko Insurance Company $$1,800,$ and in return Gecko promises to pay ECR a $$40,000$ death benefit if this employee dies any time during the next $12$ months.