Pursual Inc. earned revenue by selling merchandise of $185,000 collected in cash and $220,000 on account during 2021. Of the $220,000 on account. 20% was collected from customers in cash in 2021. The company incurred expenses of $235,000 and made related cash payments of $70,000 in 2021. Compute Net Income (Loss) under (a) cash basis accounting and (b) the accrual basis accounting \begin{tabular}{llll} Cash-Basis & $170.000 & Accrual basis & $159,000 \\ \hline Cash-Basis & $105.000 & Accrual basis & $17,000 \\ Cash-Basis & $315.000 & & \\ & & & \\ Cash-Basis & $159,000 & Accrual basis & $(18.000) \\ \hline \end{tabular} On May 1, 2021, Lisava Corp. purchased a two-year insurance policy for $96,000 with coverage beginning immediately. The balance of Prepaid Insurance on December 31,2022 is 80,000 32.000 64,000 16,000