From the following information, calculate both the cash basis and accrual basis of accounting net income for XYZ Company. Show your work.

During FY 2018, XYZ did the following:

• Sold and invoiced $500,000 in merchandise
• Received payment for $300,000 of that amount
• Billed by suppliers for $400,000
• Paid $300,000 in supplier invoices
• Was taxed at 37.6% of profits
• Declared dividends of $100,000
• Paid dividends of $75,000