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I need help on how to figure out the Accrual method. Please explain the steps you took! Sweet Catering completed the following selected transactions during
I need help on how to figure out the Accrual method. Please explain the steps you took!
Sweet Catering completed the following selected transactions during May 2016: May 1: Prepaid rent for three months, $3,000 May 5: Received and paid electricity bill, $160 May 9: Received cash for meals served to customers, $3,900 May 14: Paid cash for kitchen equipment, $3,430 May 23: Served a banquet on account, $2,370 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $2,210 May 31: Recorded depreciation for May on kitchen equipment, $180 of Sweet Catering had recorded transactions using the Cash method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign -2690 If Sweet Catering had recorded transactions using the Accrual method, how much net income (loss) would they have recorded for the month of May? If there is a loss, enter it with parentheses or a negative sign. (150) Step by Step Solution
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