Manny, a calendar$-$year taxpayer, uses the cash method of accounting for his sole proprietorship. In late December he performed $$14,000$ of legal services for a client. Manny typically requires his clients to pay his bills immediately upon receipt. Assume Manny's marginal tax rate is $37$ percent this year and next year, and that he can earn an after$-$tax rate of return of $8$ percent on his investments.

Required:

What is the after$-$tax income if Manny sends his client the bill in December?

What is the after$-$tax income if Manny sends his client the bill in January? Use Exhibit $3\mathrm{.}1.$

Note: Round your answer to the nearest whole dollar amount.

Based on requirements a and b$,$ should Manny send his client the bill in December or January?