Sweet catering completed the following selected transactions during may 2016: may 5: received and paid electricity bill, $140 may 9: received cash for meals served to customers, $3,610 may 23: served a banquet on account, $2,810 may 31: accrued salary expense, $800 may 31: recorded prepaid insurance expired, $190 if sweet catering had recorded transactions using the cash method, how much net income (loss) would they have recorded for the month of may? if there is a loss, enter it with parentheses or a negative sign. 3470 correct if sweet catering had recorded transactions using the accrual method, how much net income (loss) would they have recorded for the month of may? if there is a loss, enter it with parentheses or a negative sign.

(1) $5,290

(2) $3,470

Explanation:

Net Income from Accrual method:

= Served a banquet account - received and paid electricity bill + Received cash meals to customers - Accrued salary expense - Prepaid insurance expired

= $2,810 - $140 + $3,610 - $800 - $190

= $5,290

Net Income from Cash method:

=  Received cash meals to customers - received and paid electricity bill

= $3,610 - $140

= $3,470

a.   is the correct choice.

good luck. : )

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi