Beta Manufacturing started operations on January 1, Year 1. The following are the transactions for the first year:

Transaction #	Date	Transaction Description	Amount
1	Jan 1, Y1	Issued common stock for cash	$125,000
2	Jan 20, Y1	Purchased manufacturing equipment for cash	$45,000
3	Feb 10, Y1	Purchased raw materials on account	$30,000
4	Mar 15, Y1	Paid cash for labor	$35,000
5	Apr 20, Y1	Paid cash for factory overhead	$12,000
6	Jun 1, Y1	Completed work on products (cost: $70,000)	-
7	Jul 10, Y1	Sold products costing $65,000 for cash	$100,000
8	Dec 31, Y1	Paid cash dividends to shareholders	$20,000

Required:

1. Record the transactions in the general journal.
2. Prepare the year-end adjusting entries.
3. Prepare the income statement and balance sheet for the year ended December 31, Year 1.