Question: the following transactions pertain to 2018 the firstyear operations of...
The following transactions pertain to 2018, the first-year operations of Fanning Company. All inventory was started and completed during 2018. Assume that all transactions are cash transactions. 1. Acquired $4,200 cash by issuing common stock. 2. Paid $710 for materials used to produce inventory. 3. Paid $1,970 to production workers. 4. Paid $792 rental fee for production equipment. 5. Paid $90 to administrative employees. 6. Paid $120 rental fee for administrative office equipment. 7. Produced 310 units of inventory of which 200 units were sold at a price of $14 each.
Required Prepare an income statement and a balance sheet in accordance with GAAP.