Determine the effects of the following on a cash basis taxpayer's gross income for 2021 and 2022. If an amount is zero, enter "0' Gross Income Gross Income 2021 2022 On the morning of December 31, 2021, the taxpayer received a $1,500 a. check from a customer. The taxpayer did not cash the check until January 3, 2022. b. On the morning of December 31, 2021, the taxpayer received a $1,500 check from a customer. The customer asked the taxpayer not to cash the check until January 3, 2022, after the customer's salary check could be deposited. c. On December 31, 2021, the taxpayer received a $1,500 check from a customer. The check was not received until after the bank had closed on December 31, 2021. The taxpayer did not cash the check until January 3, 2022.
Determine the effects of the following on a cash basis taxpayer's gross income for 2021 and 2022. If an amount is zero, enter "0' Gross Income Gross Income 2021 2022 On the morning of December 31, 2021, the taxpayer received a $1,500 a. check from a customer. The taxpayer did not cash the check until January 3, 2022. b. On the morning of December 31, 2021, the taxpayer received a $1,500 check from a customer. The customer asked the taxpayer not to cash the check until January 3, 2022, after the customer's salary check could be deposited. c. On December 31, 2021, the taxpayer received a $1,500 check from a customer. The check was not received until after the bank had closed on December 31, 2021. The taxpayer did not cash the check until January 3, 2022.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Transcribed Image Text:Problem 4-35 (LO. 2)
Determine the effects of the following on a cash basis taxpayer's gross income for 2021 and 2022. If an amount is zero, enter "0".
Gross Income
Gross Income
2021
2022
On the morning of December 31, 2021, the taxpayer received a $1,500
a.
check from a customer. The taxpayer did not cash the check until January
3, 2022.
b. On the morning of December 31, 2021, the taxpayer received a $1,500
$4
$4
check from a customer. The customer asked the taxpayer not to cash the
check until January 3, 2022, after the customer's salary check could be
deposited.
C.
On December 31, 2021, the taxpayer received a $1,500 check from a
$4
customer. The check was not received until after the bank had closed on
December 31, 2021. The taxpayer did not cash the check until January 3,
2022.
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