Record each of the following transactions on 1. the Cash Basis, 2. The Modified Accrual Basis, and 3. the Accrual Basis. January 1 Billed customers $4,000 for services rendered 3 Purchased $500 of supplies on account 5 Purchased a truck costing $30,000 (to be paid on Feb 3) 11 Collected $2,000 from customers on account 15 Recorded accrued wages to date, $3,000 17 Paid for supplies 21 Paid wages February 3 Paid for the truck 5 $200 of supplies have been used 6 Depreciation on the truck for the month was $500. Set it up like this: Date Accounts Cash Basis (Dr,Cr) Modified Accrual Basis (Dr, Cr) Accrual Basis (Dr,Cr)
Thank you... could you also try to explain things rather than just doing it? I really appreciate your help, I have been struggling with this problem all day and it is due tonight. Thanks again!!