How about converting from accrual basis to cash basis ? Suppose, revenue shown on the 2013…

How about converting from accrual basis to cash basis? Suppose, revenue shown on the 2013 accrual basis income statement was $200,000. Accounts receivable were $5,000 on January 1, 2013 and $3,000 on December 31, 2013. During the year, we received $7,000 in advance of performing the services. These services will be performed next year in 2014. Can you show the computation of revenue for 2013 on cash basis?

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