Problem $4-41($LO$.2)$

Troy, a cash basis taxpayer, is employed by Eagle Corporation, also a cash basis taxpayer. Troy receives a salary of $$60,000$ per year. He

also receives a bonus equal to $10\%$ of all collections from clients he serviced during the year $($which he receives in January of the following

year$).$ Determine the tax consequences of the following events to the corporation and to Troy:

a$.$ On December $31,2023,$ Troy was visiting a customer. The customer gave Troy a $$10,000$ check payable to the corporation for appraisal

services Troy performed during $2023.$ Troy did not deliver the check to the corporation until January $2024.$

The corporation recognizes the income in:

Troy recognizes the bonus related to this collection in:

b$.$ Assume Eagle Corporation is an accrual basis taxpayer. On December $31,2023,$ Troy was visiting a customer. The customer gave Troy a

$$10,000$ check payable to the corporation for appraisal services Troy performed during $2023.$ Troy deposited the check on December $31,$ but

the bank did not add the deposit to the corporation's account until January $2024.$

The corporation recognizes the income in:

Troy recognizes the bonus related to this collection in:

c$.$ The facts are the same as in part $($a$),$ except that the customer told Troy to hold the check until January $2024$ when the customer could

make a bank deposit that would cover the check.

The corporation recognizes the income in:

Troy recognizes the bonus related to this collection in: