Question: Ruby Diaz is a freelance writer. She is a cash - method taxpayer. At the end of the year, her earnings for the year were

Ruby Diaz is a freelance writer. She is a cash-method taxpayer. At the end of the year, her earnings for the year were
$75,000. During the year, she also received $10,000 in advances on future royalties and repaid $8,000. How much
income should Ruby report for the year?
A. $85,000
B. $75,000
C. $77,000
D. $87,000
Ruby Diaz is a freelance writer. She is a cash-method taxpayer.

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