Based on the following transactions, calculate the revenues, expenses and net income that would be reported (a) on the cash basis and (b) on the accrual basis:

AP2-22 (Cash basis versus accrual basis) Required: Based on the following transactions, calculate the revenues, expenses and net income that would be reported (a) on the cash basis and (b) on the accrual basis: i. Credit sales to customers totalled $35,000. ii. Cash sales totalled $115,000