Bergo Bay's accounting system generated the following account balances on December 31. The company's manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll (Factory Wages Payable) has not been recorded. Credit Debit $ 79,000 48,000 29,000 0 6,000 2,000 Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Notes payable Common stock Retained earnings (prior year) Sales Cost of goods sold Factory overhead General and administrative expenses Totals $ 11,700 14,700 20,000 85,000 230, 600 118,000 28,000 52,000 $ 362,000 $ 362,000 These six documents must be processed to bring the accounting records up to date. Materials requisition 10: Materials requisition 11: Materials requisition 12: Labor time ticket 52: Labor time ticket 53: Labor time ticket 54: $ 4,400 direct materials to Job 402 $ 7,900 direct materials to Job 404 $ 1,700 indirect materials $ 7,000 direct labor to Job 402 $ 13,000 direct labor to Job 404 $ 5,000 indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 100% of direct labor cost. 4. Prepare an income statement for the year and a balance sheet as of December 31. Hint: Retained earnings is $130,900 at the end of the current year. Complete this question by entering your answers in the tabs below. 4. Prepare an income statement for the year and a balance sheet as of December 31. Hint: Retained earnings is $130,900 at the end of the current year. Complete this question by entering your answers in the tabs below. Income Statement Balance Sheet Prepare an income statement. BERGO BAY COMPANY Income Statement $ For Year Ended December 31 Sales Cost of goods sold Gross profit Factory overhead 230,600 118,000 112,600 28,000 $ 84,600 Required information Prepare a balance sheet as of December 31. BERGO BAY COMPANY Balance Sheet As at December 31 Assets Inventories 0 Total assets $ 0 Liabilities Total liabilities 0 Equity 0 Total equity Total liabilities and equity $ 0