Mostert Music Company had the following transactions in March: a. Sold music lessons to customers for $14,700;

Mostert Music Company had the following transactions in March:

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a. Sold music lessons to customers for $14,700; received $9,300 in cash and the rest on account. b. Paid $1,080 in wages for the month. c. Received a $500 bill for utilities that will be paid in April. d. Received $2,100 from customers as deposits on music lessons to be given in April. Required: Based on the information above, prepare a cash basis and an accrual basis income statement. Complete this question by entering your answers in the tabs below. Cash Basis Accrual Basis Based on the information above, prepare a cash basis income statement. Revenues MOSTERT MUSIC COMPANY Cash Basis Income Statement Cash Sales Customer Deposits Total Revenues Expenses Salaries and Wages Paid Cash Income < Cash Basis Accrual Basis > a. Sold music lessons to customers for $14,700; received $9,300 in cash and the rest on account. b. Paid $1,080 in wages for the month. c. Received a $500 bill for utilities that will be paid in April. d. Received $2,100 from customers as deposits on music lessons to be given in April. Required: Based on the information above, prepare a cash basis and an accrual basis income statement. Complete this question by entering your answers in the tabs below. Cash Basis Accrual Basis Based on the information above, prepare a cash basis income statement. Revenues MOSTERT MUSIC COMPANY Cash Basis Income Statement Cash Sales Customer Deposits Total Revenues Expenses Salaries and Wages Paid Cash Income < Cash Basis Accrual Basis >

Answer rating: 100% (QA)

ANSWER Income Statement Cash Basis Sales 9... View the full answer