1. Bob used to own a local retail store. Instead of owning the store directly he set up a corporation to run the retail store business. The corporation used the accrual method of accounting. The corporation would extend credit to many of its customers. Bob decided to retire so he liquidated the corporation. At the time of liquidation, there were many account receivables outstanding and Bob took over the ownership of them. Two years later, in 2020, there was only one receivable still outstanding for $100,000. In 2020 the debtor filed for bankruptcy and Bob determined that he would probably only receive 520.000 in satisfaction of the debt. In 2021 he actually received $30,000 in satisfaction of the debt. What are the tax results to Bob in 2020 and 2021 from these events? Would the answer change if the corporation was a cash basis taxpayer? If so, how? 1. Bob used to own a local retail store. Instead of owning the store directly he set up a corporation to run the retail store business. The corporation used the accrual method of accounting. The corporation would extend credit to many of its customers. Bob decided to retire so he liquidated the corporation. At the time of liquidation, there were many account receivables outstanding and Bob took over the ownership of them. Two years later, in 2020, there was only one receivable still outstanding for $100,000. In 2020 the debtor filed for bankruptcy and Bob determined that he would probably only receive 520.000 in satisfaction of the debt. In 2021 he actually received $30,000 in satisfaction of the debt. What are the tax results to Bob in 2020 and 2021 from these events? Would the answer change if the corporation was a cash basis taxpayer? If so, how