Sandra owns an insurance agency.The following selected data are taken from the agency balance sheet and income statement prepared using the accrual method.
Revenue
$250,000
Salaries and commissions
100,000
Rent
10,000
Insurance
5,000
Utilities
6,000
Accounts receivable,1/1/2016
40,000
Accounts receivable,12/31/2016
38,000
Accounts payable,1/1/2016
12,000
Accounts payable,12/31/2016
11,000
Calculate Sandra's net profit using the cash method for 2016.

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The Answer of Sandra owns an insurance agency.The following selected data are taken from the agency balance sheet and income statement prepared using the accrual method.
Revenue
$250,000
Salaries and commissions
100,000
Rent
10,000
Insurance
5,000
Utilities
6,000
Accounts receivable,1/1/2016
40,000
Accounts receivable,12/31/2016
38,000
Accounts payable,1/1/2016
12,000
Accounts payable,12/31/2016
11,000
Calculate Sandra's net profit using the cash method for 2016.

Sandra Owns an Insurance Agency