Question - The following transactions for Carleton Company occurred during January 2016:
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Jan.
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1
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Purchased a two-year insurance policy for cash, $8,400
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|
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4
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Paid utilities bill received December 2015, $450
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|
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9
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Performed a service on account, $1,200
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|
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16
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Paid bimonthly salary to employees, $2,700
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|
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21
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Received $800 from a customer on account
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|
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25
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Received $600 from January 9 transaction
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|
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30
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Prepared the adjusting entry for insurance from January 1 transaction
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|
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30
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Accrued wages of $2,750
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Show the total amount of revenue and expense recognized under both the accrual basis and cash basis of accounting.