Bill Operates a Proprietorship Using the Cash Method of Accounting

question 55

Multiple Choice

Bill operates a proprietorship using the cash method of accounting, and this year he received the following payments:  
-$100 in cash from a customer for services rendered this year
-a promise to pay $200 from a customer for services rendered this year
-tickets to a football game worth $250 as payment for services performed last year
-a check for $170 for services rendered this year that Bill forgot to cash
How much income should Bill realize on Schedule C?

• A) $100
• B) $300
• C) $350
• D) $270
• E) $520

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Definitions:

Public Policy

The principles and guidelines by which governments operate, including laws, regulations, decisions, and actions to address public issues.

Eating Disorders

Mental disorders characterized by abnormal eating habits that negatively affect a person's physical or mental health.

Obesity

A medical condition characterized by excessive body fat accumulation, which poses a risk to health.

Hypothesis

A proposed explanation made on the basis of limited evidence as a starting point for further investigation.