Question: During Year 1 , Silver Sinks, Inc. earned $ 3 3 , 0 0 0 of revenue on account. Cash collections of receivables were $

During Year 1, Silver Sinks, Inc. earned $33,000 of revenue on account. Cash collections of receivables were $28,000. The remainder of the receivables were collected in Year 2. As a result of these transactions, Silver Sink will report Year 1 net income of Blank______.
Multiple choice question.
$28,000 and cash inflow from operating activities of $33,000 in Year 2
$33,000 and cash inflow from operating activities of $33,000 in Year 1
$33,000 and cash inflow from operating activities of $28,000 in Year 1 and $5,000 in Year 2
$28,000 and cash inflow from operating activities of $28,000 in Year 1 and $5,000 in Year 2

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