Grier & Associates maintains its records on the cash basis. You have been engaged to convert its cash basis income statement to the accrual basis. The cash basis income statement, along with additional information, follows: Grier & Associates Income Statement (Cash Basis) For the Year Ended December 31, 2012 $450.000 Cash receipts from customers Cash payments Salaries and wages Income taxes Insurance Interest Net income $150.000 65.000 40,000 25.000 280.000 $170.000 Additional information: Accounts receivable Salaries and wages payable Income taxes payable Prepaid insurance Accumulated depreciation Interest payable Balances at 12/31 2012 2011 $60,000 $30,000 10.000 20.000 24.000 19.000 8.000 4.000 95.000 75.000 3.000 9.000 No plant assets were sold during 2012