1. Expense recognition accrual basis vs. cash basis: Ring The Bells, Inc. provides doorbell repair services to customers. The accountant for Ring The Bells noted the following events which took place during April 2018:

1. Received a utilities bill for $790 for April 2018 utilities. The firm will pay this bill in May 2018.
2. Paid $8,420 in cash in advance for a new health insurance policy covering May 2018 November 2018.
3. Paid $2,600 in cash for April 2018 Rent.
   1. Using cash-basis accounting, how much in expenses would Ring the Bells record for April 2018? Briefly explain or show how you got your answer.
   2. Using accrual-basis accounting, how much in expenses would Ring the Bells record for April 2018? Briefly explain or show how you got your answer.