1,1 The following transactions pertain to year 1, the first-year operations of Thornton Company. All inventory was started and completed during year 1. Assume that all transactions are cash transactions. 1. Acquired $4,100 cash by issuing common stock. 2. Paid $640 for materials used to produce inventory. 3. Paid $1,990 to production workers. 4. Paid $1,512 rental fee for production equipment. 5. Paid $130 to administrative employees. 6. Paid $116 rental fee for administrative office equipment. 7. Produced 380 units of inventory of which 320 units were sold at a price of $13 each. Required Prepare an income statement and a balance sheet in accordance with GAAP. Complete this question by entering your answer in the tabs below. Income Statement Balance Sheet Prepare an Income statement in accordance with GAAP. (Do not round your intermediate calculations.) THORNTON COMPANY Income Statement for Year 1 $ 0 $ Required Prepare an income statement and a balance sheet in accordance with GAAP. Complete this question by entering your answer in the tabs below. Income Statement Balance Sheet Prepare a balance sheet in accordance with GAAP. (Do not round your intermediate calculations.) THORNTON COMPANY Balance Sheet as of 12/31/Year 1 Assets Total assets $ Equity Total equity $