Wanda, an employee of Shady Corporation, a cash basis and calendar year taxpayer, picked up a check from Prompt Payment Corp. on December 31, 2013 at 1pm to pay a large invoice that had been overdue for months. Shady Corporation was owed $80,000, but the check was in the amount of $50,000. The accounts payable department at Prompt Payment Corp. told Wanda they would mail a check for the additional amount owed before January 31, 2014. Because it was New Years Eve and Wanda needed to get ready for a party, she did not return to work after she picked up the check and she delivered it to Shady Corporations accounting department on January 3, 2014. For federal income tax purposes, Shady Corporation should:

a. include $80,000 in gross income for 2013

b. include $80,000 in gross income for 2014 if Shady receives the $30,000 check on January 31, 2014

c. include $50,000 in gross income for 2013

d. deduct $30,000 for AGI as bad debt expense in 2013

e. exclude $30,000 from gross income for 2014