Given the data below for a firm in its first year of operation, determine net income under the accrual basis of accounting. $\begin{array}{lr}
\text { Cash received from customers } & \$ 48,000 \
\text { Accounts receivable } & 12,000 \
\text { Cash paid for expenses } & 26,000 \
\text { Accounts payable (related to expenses) } & 3,000 \
\text { Prepaid rent for next period } & 7,000
\end{array}$
A) $22,000
B) $31,000
C) $24,000
D) $15,000

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The Answer of Given the data below for a firm in its first year of operation, determine net income under the accrual basis of accounting. $\begin{array}{lr}
\text { Cash received from customers } & \$ 48,000 \
\text { Accounts receivable } & 12,000 \
\text { Cash paid for expenses } & 26,000 \
\text { Accounts payable (related to expenses) } & 3,000 \
\text { Prepaid rent for next period } & 7,000
\end{array}$
A) $22,000
B) $31,000
C) $24,000
D) $15,000

Given the Data Below for a Firm in Its First