View Policies Current Attempt in Progress In its first year of operations, Wildhorse Co. recognized $30,800 in service revenue, $6,600 of which was on account and st outstanding at year-end. The remaining $24,200 was received in cash from customers. The company incurred operating expenses of $17,380. Of these expenses, $13,200 were paid in cash; $4,180 was still owed account at year-end. In addition, Wildhorse prepaid $2,640 for insurance coverage that would not be used until the second ye operations. (a) Calculate the first year's net earnings under the cash basis of accounting, and calculate the first year's net earnings under th accrual basis of accounting. Cash Basis Accrual Basis