ing Differences between Cash and Accrual Basis ario and fill in the Cash basis/Accrual basis table. for advertising in the local newspaper. On January 1, the law firm paid $900 for six Blue Nile Law Firm prepays months of advertising. Accrual Basis Cash Basis 900 January 1 January 31 February 28 900 Cash Payment 9000 900 Expenses Recorded 9000 9000 9000 900 900 Total Expenses Recorded 900 5,400 to search Step 5: Adjusting Entries Cash versus Accrual basis 2 HINT Differences between Cash and Accrual Basis o and fill in the Cash basis/Accrual basis table. law firm paid s900 for six . On January 1, the Blue Nile Law Firm prepays months of advertising for advertising in the local newspaper Cash Sass 900 202