On January 1, 2025, Norma Smith and Grant Wood formed a computer sales and service company in Soapsville, Arkansas, by investing 591,620 cash. The new company. Kingbird Sales and Service, has the following transactions during January. 1 Pays $15,000 in advance for 3 months' rent of office, showroom, and repair space 2 3 4. 5. Purchases 41 personal computers at a cost of $1.680 each, 7 graphics computers at a cost of $2.680 each, and 26 printers at a cost of $480 each paying cash upon delivery. Sales, repair, and office employees earn $14,220 in salaries and wages during January, of which $4,620 was still payable at the end of January Sells 31 personal computers at $2,730 each. 5 graphics computers for $3,780 each, and 16 printers for $680 each: $76,620 is received in cash in January, and $37.790 is sold on a deferred payment basis. Other operating expenses of $10,020 are incurred and paid for during January: $3,620 of incurred expenses are payable at January 31. (a) Your Answer Correct Answer Your answer is correct. Using the transaction data above, prepare (1) a cash-basis income statement and (2) an accrual-basis income statement for the month of January. (Enter loss using either a negative sign preceding the number.eg-45 or parentheses eg. (45).) KINGBIRD SALES AND SERVICE Income Statement For the Month Ended January 31, 2025 Revenues Expenses (1) Cash Basis (2) Accrual Basis 76620 Cost of Computers & Printers 100120 Salaries and Wages Rent Other Operating Expenses Total Expenses Net Income/(Loss) 114410 73160 9600 i 14220 15000 5000 10020 13640 134740 -58120 106020 8390