Answer: $32,100
Explanation:
1. Cash Basis net income in 2019:
Given that,
Pina Colada Industries collected = $105,000
services performed in 2018 = $25,700
services performed in 2019 = $40,700
Paid for expenses in 2019 = $72,900
Net Income = Amount collected from customers - Paid for expenses in 2019
= $105,000 - $72,900
= $32,100