Corinne Dunbar, M.D., maintains the accounting records of Dunbar Clinic on a cash basis. During 2012, Dr. Dunbar collected $142,600 from her patients and paid $60,470 in expenses. At January 1, 2012, and December 31, 2012, she had accounts receivable, unearned service revenue, accrued expenses, and prepaid expenses as follows. (All long-lived assets are rented.)

InstructionsPrepare a schedule that converts Dr. Dunbar??s ??excess of cash collected over cash disbursed?? for the year 2012 to net income on an accrual basis for the year2012.

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January 1, 2012 $11,250 2,840 3,435 1,917 December 31, 2012 $15,927 4,111 2,108 3,232 Accounts recelvable Unearned service revenue Accrued expenses Prepaid expenses