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.

Cash	$ 10,200	Common stock	$ 16,000
Accounts receivable	4,600	Dividends	3,100
Notes receivable	3,600	Consulting revenue	17,500
Office supplies	2,600	Rental revenue	1,600
Prepaid insurance	2,100	Salaries expense	4,100
Equipment	9,500	Rent expense	3,100
Accounts payable	4,820	Advertising expense	620
Notes payable	3,500	Utilities expense	420
Unearned revenue	520

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.