Read the following question and answer:

a. On 8/1/2019, Ellen received $125,040 to provide consulting services to a client over 24 months beginning 9/1/2019. How much income will Ellen recognize in 2020 assuming she is accrual basis?

b. what if On 8/1/2019, Ellen received $48,000 to provide consulting services to a client over 24 months beginning 10/1/2019. How much income will Ellen recognize in 2020 assuming she is cash basis?

c. Ellen and Ellisa married, and received an $800 state tax refund in 2021. They had itemized deductions in 2020 of $25,000. How much of their refund, if any, is taxable?