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Answer:
Step-by-step explanation:
We have been given that Marigold Industries collected $104,000 from customers in 2019. Of the amount collected, $24,400 was for services performed in 2018. In addition, Marigold performed services worth $39,000 in 2019, which will not be collected until 2020.
Let us find revenue earned in 2019 by subtracting revenue earned from 2018 and adding revenue earned in 2019 to total revenue as:
Marigold Industries also paid $73,900 for expenses in 2019. Of the amount paid, $29,100 was for expenses incurred on account in 2018. In addition, Marigold incurred $42,200 of expenses in 2019, which will not be paid until 2020.
Now, we will find expenses in 2019 by subtracting expenses in 2018 and adding expenses in 2019 to total expenses as:
To find accrual net-income, we will subtract$87,000 from $118,600 as:
Therefore, the net accrual income for 2019 would be $31,600.