Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Jane runs a financial services firm as a sole proprietor filing a Schedule C on her 1040. Due to a billing error she charged her
Jane runs a financial services firm as a sole proprietor filing a Schedule C on her 1040. Due to a billing error she charged her clients twice in December 2018 in December . One half of the wrongly billed clients paid the extra amount. Which statement is correct?
Jane is on cash basis, she will only report on her tax return the amounts she received. |
Jane is on cash basis, she will on her tax return report all the billed clients. |
Jane is on accrual basis, she will on her tax return report all the billed clients. |
Jane is on accrual basis, she will on her tax return report only the amounts received. |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started