David purchased a deli shop on February 1^st of last year and began to operate it as a sole proprietorship.David reports his personal taxes using the cash method over a calendar year, and he wants to use the cash method and fiscal year for his sole proprietorship.He has summarized his receipts and expenses through January 31^st of this year as follows:
$\begin{array}{l}&\text { Receipts } & \text { Expenses } \\\text { February through December last year }&\$ 112,000 & \$ 84,500 \\\text { January this year }&10,400 & 6,200\end{array}$ What income should David report from his sole proprietorship?

Question

David purchased a deli shop on February 1^st of last year and began to operate it as a sole proprietorship.David reports his personal taxes using the cash method over a calendar year, and he wants to use the cash method and fiscal year for his sole proprietorship.He has summarized his receipts and expenses through January 31^st of this year as follows:

\begin{array}{l}&\text { Receipts } & \text { Expenses } \\\text { February through December last year }&\$ 112,000 & \$ 84,500 \\\text { January this year }&10,400 & 6,200\end{array}

What income should David report from his sole proprietorship?

Quizplus · Accepted Answer

The Answer of David purchased a deli shop on February 1^st of last year and began to operate it as a sole proprietorship.David reports his personal taxes using the cash method over a calendar year, and he wants to use the cash method and fiscal year for his sole proprietorship.He has summarized his receipts and expenses through January 31^st of this year as follows: $\begin{array}{l} &\text { Receipts } & \text { Expenses } \ \text { February through December last year }&\$ 112,000 & \$ 84,500 \ \text { January this year }&10,400 & 6,200 \end{array}$ What income should David report from his sole proprietorship?

David Purchased a Deli Shop on February 1st of Last

David Purchased a Deli Shop on February 1^st of Last