Is there a report of income by each payment method?

There are a number of ways you can obtain this information in a report in QBO.  Take a look at the "Invoices and Received Payments Report", select the baby gear icon in the upper right hand corner, click "show more", then put a green check-mark in the "Payment Method" box to include this field in the report. This adds the payment method field to the report in the far right column. You can also customize the order of the column data. Note that this particular report includes the invoice, credit memo and the payment transaction types.

You can also run the report "Transaction List By Date" and go-to the baby gear icon to add the "Payment Method", then customize by adding a filter to only include "Transaction Type", "Payment". This will allow you to only view payments by type, it will exclude other transaction types.