Accrual and Cash basis homework

Exercise- After its first year of operation Campbell’s Cooking Clinic furnished the following
information:
Revenue from cooking class – The firm provided 14,000 hours of classroom instruction at $5 per
hour. Students paid $18,000 at the time of enrolment; an additional $40,000 was subsequently
collected prior to the end of year; the remaining balance still outstanding.
Lessons booklet –The clinic purchased 1000 lesson booklets at $4 each for use in its classes.
Eighty per cent of the total purchase price had been paid by year end. A count revealed that
400 booklets were still on hand.
Operating Expenses – Rent, Salary, advertising and office expenses of $15,600 had been
incurred by December 31. Of this amount $3,100 will be paid in the following accounting
period.