Frank's Auto Body, an unincorporated business, keeps its records on a cash basis. During 2020, its first year of operation, the business has cash sales of $71,200. At the end of the year, an additional $22,450 of revenues was receivable. Of the amounts received, $7,100 was for services that will be delivered during 2021. Frank estimates that $650 of the end of year receivable amounts will be uncollectible. By what amount will the 2020 net business income of Frank's Auto Body be increased by the preceding information?

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The Answer of Frank's Auto Body, an unincorporated business, keeps its records on a cash basis. During 2020, its first year of operation, the business has cash sales of $71,200. At the end of the year, an additional $22,450 of revenues was receivable. Of the amounts received, $7,100 was for services that will be delivered during 2021. Frank estimates that $650 of the end of year receivable amounts will be uncollectible. By what amount will the 2020 net business income of Frank's Auto Body be increased by the preceding information?

Frank's Auto Body, an Unincorporated Business, Keeps Its Records on a Cash