Trip garage, inc. (459 ellis avenue, harrisburg, pa 17111), is an accrual basis taxpayer that repairs automobiles. in late december 2019, the company repaired samuel mosley's car and charged him $1,000. samuel did not think the problem had been fixed and refused to pay; thus, trip refused to release the automobile. in early january 2020, trip made a few adjustments and convinced samuel that the automobile was working properly. at that time, samuel agreed to pay only $900 because he did not have the use of the car for a week. trip said "fine" accepted the $900, and released the automobile to samuel. an irs agent thinks trip, as an accrual basis taxpayer, should report $1,000 of income in 2019, when the work was done, and then deduct a $100 loss in 2020. complete the memo to susan apple, the treasurer of trip, with the recommended treatment for the disputed income.