XYZ Electronics is a retail chain specializing in electronics. Here are selected financial figures for the fiscal year 2023:

Ledgers:

• Beginning Inventory: $1,500,000
• Purchases of Merchandise: $8,000,000
• Sales Revenue: $12,000,000
• Operating Expenses: $4,000,000
• Income Tax Expense: $500,000

Requirements:

• Prepare XYZ Electronics' income statement for the year ended December 31, 2023.
• Calculate the Gross Profit and Operating Income.
• Determine the Net Income after taxes.
• Analyze XYZ Electronics' financial performance and suggest cost control measures.