(Solution) - Mostert Music Company had the following transactions in March a -(2025 Original AI-Free Solution)

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Mostert Music Company had the following transactions in March
a. Sold instruments to customers for $10,000; rec'd $6,000 in cash and the rest on account, cost of the instrument was $7,000
b. Purchased $4,000 of new instruments inventory; paid $1,000 in cash and owed the rest on account
c. Paid $600 in wages for the month
d. Received a $200 bill for utilities that will be paid in April
e. Received $1,000 from customers as deposits on orders of new instruments to be sold to the customers in April.
Complete the following statements:
Income Statement is Cash Basis
Income Statement is Cash Basis