In 2020, Brown Corporation, a Service Business, No Longer Qualifies

question 78

Essay

In 2020, Brown Corporation, a service business, no longer qualifies as a small business.Thus, it must change from the cash to the accrual method starting with its 2020 tax year..At the beginning of 2020, Brown had accounts receivable of $575,000.Also, Brown had accounts payable of $345,000.Determine the adjustment to income due to the change in accounting method and the amount that is allocated to 2020.

---

Definitions:

Writing A Letter

An act of communication where an individual composes a message to another using words, typically on paper and mailed.

Voter Registration Laws

Voter registration laws are regulations that determine how citizens register to vote, affecting voter participation in elections.

Younger People

Individuals in their youth or early stages of life, often implying a demographic group with distinct characteristics or preferences.

Voter Turnout

The percentage of eligible voters who cast a ballot in an election, indicating the level of public participation in the electoral process.