For the following scenarios, indicate how much of the following items of income and expense would be recognized in the current year if the taxpayer elects to file as a (1) cash basis taxpayer or (2) accrual basis taxpayer:

	Cash basis	Accrual basis
On Dec 15 ABC paid $2,000 for utilities from 1/1 through 10/31 of the following year.
At year-end, ABC estimates it will be unable to collect about $5,000 from customers for services completed this year. In addition, ABC is writing off receivables of $3,000 from Mr. Jones.
On 5/30, ABC paid $5,400 for the next 8 months of interest on a business loan.
On 8/1 ABC received $12,000 from a tenant who rents some excess warehouse space in a building owned by ABC. The $12,000 pays for 6 months rent beginning 8/1 of the current year.
ABC sent a check to its insurance company for $9,000 on 7/31 of the current year. This $9,000 will cover the cost of ABCs insurance for 24 months beginning 8/1 of the current year.
ABC sent a check to its insurance company for $9,000 on 7/31 of the current year. This $9,000 will cover the cost of ABCs insurance for 12 months beginning 8/1 of the current year.
On 11/1, ABC received a $5,000 down payment from a new customer for services to be provided by the company in March of the following year.
ABC made $525 in campaign contributions this year to support Homer Simpsons gubernatorial campaign.