reported for these facts! a E3-31B. (Learning Objective 1: Linking accrual accounting and cash flows) During 20X7, Valley Sales, Inc., earned revenues of 690,000 on account. Valley collected 650,000 from customers during the year. Expenses totaled 500,000, and the related cash payments were 440,000. Show what Valley would report on its 20X7 Income Statement des under the a. cash basis. b. accrual basis. Compute net income under both bases of accounting. Which basis measures net income better? Explain your answer.