In its first year of operations, Roma Co. earned $55,000 in revenues and received $47,000 cash from these customers. The company incurred expenses of $30,500 but had not paid $6,750 of them at year-end. The company also prepaid $9,250 cash for costs that will not be expensed until the next year. Calculate the first year's net income under both the cash basis and the accrual basis of accounting