Malo Inc. uses a fiscal year ending June 30. On May 29, Malo received a check for $3,900 from a business that leases parking spaces in Malos parking garage. This payment was for the three-month period beginning June 1. On June 15, Malo sent an invoice for $5,500 to a customer for services rendered during May and June. Malo received payment from the customer on July 3.

1. If Malo is a cash basis taxpayer, how much income should it recognize from the given transactions in the current fiscal year?

Service performed: ?? and prepaid rent income: ??

1. If Malo is an accrual basis taxpayer, how much income should it recognize from the given transactions in the current fiscal year?

Service performed: ?? and prepaid rent income: ??