Angela Lopez owns and manages a consulting firm called Metrix, which began operations on December 1. On December 31, Metrix shows the following selected accounts and amounts for the month of December. Common stock Dividends Cash $ 8,000 $ 11,600 Accounts receivable 3,500 2,000 Notes receivable 2,500 Consulting revenue 12,000 Office supplies 1,500 Rental revenue 500 Prepaid insurance 1,000 Salaries expense 3,000 Equipment 4,000 Rent expense 2,000 Accounts payable 1,300 Advertising expense Notes payable 2,400 Utilities expense 400 200 Unearned revenue 300 Required: 1. Prepare a December income statement for the business. 2. Prepare a December statement of retained earnings. The Retained Earnings account balance at December 1 was $0. 3. Prepare a December 31 balance sheet. Hint: Use the Retained Earnings account balance calculated in part 2.