Requirement 1. Show whether each transaction would be handled as a revenue or an expense using both the cash basis and accrual basis accounting systems by completing the table provided. (Expenses should be shown in parentheses.) Also indicate the dollar amount of the revenue or expense. The May 1 transaction has been completed as an example. (Enter "0" for any transactions that do not affect revenues or expenses.) Amount of Revenue (Expense) for May Cash Basis Amount Accrual Basis Amount Date of Revenue (Expense) of Revenue (Expense) May 1 $ (2,700) 0 More info May 1 Prepaid rent for three months, $2,700. May 5 Received and paid electricity bill, $300. May 9 Received cash for meals served to customers, $2,200. May 14 Paid cash for kitchen equipment, $2,700. May 23 Served a banquet on account, $3,400. May 31 Made the adjusting entry for rent (from May 1). May 31 Accrued salary expense, $1,200. May 31 Recorded depreciation for May on kitchen equipment, $45. Print Done - X 16 Requirements 1. Show whether each transaction would be handled as a revenue or an expense using both the cash basis and accrual basis accounting systems by completing the table provided. (Expenses should be shown in parentheses.) Also, indicate the dollar amount of the revenue or expense. The May 1 transaction has been completed as an example. Amount of Revenue (Expense) for May Date May 1 $ Cash Basis Amount of Accrual Basis Amount of Revenue (Expense) Revenue (Expense) (2,700) 0 2. After completing the table, calculate the amount of net income or net loss for Sweet Catering under the accrual basis and cash basis accounting systems for May. 3. Considering your results from Requirement 2, which method gives the best picture of the true earnings of Sweet Catering? Why? Print Done - X