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Sheridan Corp. sells $6310 of goods on account in the current year and collects $3310 of...

Sheridan Corp. sells $6310 of goods on account in the current year and collects $3310 of this. It incurs $4200 in expenses on account during the current year and pays $2600 of them. Sheridan would report what amount of net income under the cash and accrual bases of accounting, respectively?

a) $2110 on the cash basis and $3000 on the accrual basis.

b) $3000 on the cash basis and $2110 on the accrual basis.

c) $3310 on the cash basis and $4200 on the accrual basis.

d) $710 on the cash basis and $2110 on the accrual basis.

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