Prepare an income statement for December 2020.

On December 1, 2020, Matthias Company had the account balances shown below. ment $1,800 54,800 3.500 A 1.920" 21.700 h Accumulated Degreco- P Common Stack aming Equipment *(3,200 x $0.60) The following transactions occurred during December Dec. Purchased 3,800 units of inventory on account at a cost of $0.70 per unit. s Sold 4,200 units of inventory on account for $0.90 per unit. (Matthias sold 3,200 of the $0.60 units and 1,000 of the $0.70.) Granted the December 5 customer $270 credit for 300 units of inventory returned costing $180. These units were returned to inventory. 17 Purchased 2,100 units of inventory for cash at $0.80 each. 22 Sold 2,000 units of inventory on account for $0.95 per unit. (Matthias sold 2,000 of the $0.70 units.) Adjustment data: 1. Accrued sales payable 390 2. Depreciation 190 per month (b) (d1) Prepare an income statement for December 2020. MATTHIAS COMPANY Income Statement