The income statement of Whispering Company is shown below. WHISPERING COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $6,910,000 Cost of goods sold Beginning inventory $1,860,000 Purchases 4,820,000 Goods available for sale 6,680,000 Ending inventory 1,560,000 Cost of goods sold 5,120,000 Gross profit 1,790,000 Operating expenses Selling expenses 450,000 Administrative expenses 710,000 1,160,000 Net income $630,000 Additional information: 1. Accounts receivable decreased $340,000 during the year. 2. Prepaid expenses increased $150,000 during the year. 3. Accounts payable to suppliers of merchandise decreased $250,000 during the year. 4. Accrued expenses payable decreased $130,000 during the year. 5. Administrative expenses include depreciation expense of $60,000.