Sunland Industries collected $105,000 from customers in 2019. Of the amount collected, $24,400 was for services performed in 2018. In addition, Sunland performed services worth $38,100 in 2019, which will not be collected until 2020. Sunland Industries also paid $73,200 for expenses in 2019. Of the amount paid, $31,000 was for expenses incurred on account in 2018. In addition, Sunland incurred $41,100 of expenses in 2019, which will not be paid until 2020. Compute 2019 cash-basis net income. Cash-basis net income s 3X Compute 2019 accrual-basis net income. Accrual-basis net income

Cash Basis Income:

1. Cash 105000

           Sales revenue    105000

2. Cash  24400

           Sales revenue    24400

3.No entry

4.Expense  73200

            Cash      73200

5.Expense 31000

       Cash        31000

6.No entry

                                               Sunland industries

                                      Cash basis net Income

Sales (105000+24400)                                                                =129400

less: expenses (73200+31000)                                                     =(104200)

                Income                                                                            25200

Accrual Basis Income

. 1.a.)  Account receivable  105000

                              Sales revenue                  105000

    b.) Cash   105000

                              Account receivable   105000

2. a)Account receivable 24400

                Sales  revenue              24400

   b) Cash  24400

               Account receivable   24400

3. Account Receivable  38100

                    Sales revenue      38100

4.a) Expense 73200

               Payable      73200

  b)  Payable         73200

                Cash              73200

5.Payable 31000

            Cash         31000

6. Expenses  41100

           Payable     41100

                                               Sunland industries

                                      Accrual basis net Income

Sales (105000+24400+38100)                                                    =167500

less: expenses (73200+41100)                                                     =(114300)

                Income                                                                              53200

answer///supply is elastic, and demand is inelastic;