Please answer EACH part of the following:

A. (#7) Which is true and what is the logic as to WHY is this the case?

B. (#8) The correct answer is $160,000. Walk me through the work involved.

How do you calculate the amount received from customers?

How does this transaction affect the income statement, and he balance sheet?

7. If repairs and maintenance expense is incorrectly capitalized as part of the cost of equipment in the year 20x0, which of the following is true? a. net income and assets are understated in 20X0 b. net income and assets are understated in 20X1 c. net income is understated in 20X1 and assets are overstated in 20X1 d. net income and assets are correct in 20X 8. These account balances appeared on the comparative balance sheets and income statements in the annual report of MLO Company: Fees Revenue Accounts Receivable 12/31/X0 $180,000 $ 30,000 12/31/X1 $200,000 70,000 Assuming MLO's customers always pay fees for services on account, how much did MLO receive from its customers during the year 20X1? a. $160,000 b. $200,000 c. $240,000 d. $270,000