On December 31, Sawyer Patterson completed his first year as a financial planner. The following data are available from his accounting records:

Accrual Basis of Accounting versus Cash Basis of Accounting On December 31, Sawyer Patterson completed his first year as a financial planner. The following data are available from his accounting records: Fees billed to clients for services rendered $138,000 Rentexpense for year just ended $19,000 Cash received from clients Supplies purchased for cash Supplies used during the year Cash paid for rent (rent is paid through Mar. of next year) 12,100 9,300 39,400 35,100 118,000 Utility expenses incurred 4,100 Utility bills paid 3,100 Salary earned by assistant Salary paid to assistant 22,000 a. Compute Sawyer's net income for the year just ended using the accrual basis of accounting 177,400 x b. Compute Sawyer's net income for the year just ended using the cash basis of accounting. 76,900x