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  3. e3.3 (lo 1), ap carillo industries collected $108,

E3.3 (LO 1), AP Carillo Industries collected $108,000 from customers in 2022. Of the amount...

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Accounting

E3.3 (LO 1), AP Carillo Industries collected $108,000 from customers in 2022. Of the amount collected, $25,000 was for services performed in 2021. In addition, Carillo performed services worth $36,000 in 2022, which will not be collected until 2023.

Carillo Industries also paid $72,000 for expenses in 2022. Of the amount paid, $30,000 was for expenses incurred on account in 2021. In addition, Carillo incurred $42,000 of expenses in 2022, which will not be paid until 2023.

a . Compute 2022 cash - basis net income .

b . Compute 2022 accrual - basis net income .

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