$1.$ Depreciation Method:$$The company uses the straight$-$line depreciation method for its equipment.

$2.$ Inventory Method:$$The company follows the FIFO $($First$-$In$,$ First$-$Out$)$ method for valuing inventory.

$3.$ Revenue Recognition:$$Revenue is recognized when earned, in accordance with accrual accounting principles.

$4.$ Tax Considerations:$$Income tax expense at a $25\%$ rate and liabilities are not reflected in the trial balance and should be considered in the preparation of financial statements.

Using the provided trial balance, prepare an income statement for XYZ Corporation for the year ending December $31,2023.$

$\backslash$table$[[\backslash$table$[[$Trial Balance$],[$Statement$]],,],[\backslash$table$[[$Ryan$],[$Corporation$]],,],[$Trial Balance,,$],[\backslash$table$[[\backslash$table$[[$As of December $31,],[2023]]]],,],[$Account$,$Debit,Credit$],[$Cash$,$$$30,000,],[\backslash$table$[[$Accounts$],[$Receivable$]],$$$46,250,],[$Inventory$,$$$40,000,],[$Prepaid Expenses,$$5,000,],[$Equipment$,$$$100,000,],[\backslash$table$[[$Accumulated$],[$Depreciation$-$Equip$],[$ment$]],,$$$30,000],[$Accounts Payable,,$$35,000],[$Salaries Payable,,$$15,000],[$Notes Payable,,$$50,000],[$Common Stock,,$$70,000],[$Retained Earnings,,$$40,000],[$Sales Revenue,,$$130,000],[$Cost of Goods Sold,$$80,000,],[$Salaries Expense,$$30,000,],[$Rent Expense,$$12,000,],[$Utilities Expense,$$8,000,],[\backslash$table$[[$Depreciation$],[$Expense$]],$$$10,000,],[$Interest Expense,$$5,000,],[$Totals$,$$$370,000,$$$370,000]]$