Both Company A and Company B use accrual accounting.Both have $80,000 in sales revenues and $50,000 in expenses for their first month of business.Company A allows cash sales only.Company B sells to its customers on account and as of the end of the month its customers owe $30,000.Show how Company A's and B's four financial statements compare by putting an X under either the Same or Different column for each of the statements.

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The Answer of Both Company A and Company B use accrual accounting.Both have $80,000 in sales revenues and $50,000 in expenses for their first month of business.Company A allows cash sales only.Company B sells to its customers on account and as of the end of the month its customers owe $30,000.Show how Company A's and B's four financial statements compare by putting an X under either the Same or Different column for each of the statements.

Both Company a and Company B Use Accrual Accounting