Exercise 18-8 (Algo) Preparing financial statements for a manufacturer LO P1

1. Prepare income statements for both Garcon Company and Pepper Company.
2. Prepare the current assets section of the balance sheet for each company.

Required information

Use the following information for the Exercises below. (Algo)

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[The following information applies to the questions displayed below.]

The following data is provided for Garcon Company and Pepper Company for the year ended December 31.

	Garcon Company	Pepper Company
Finished goods inventory, beginning	$ 15,000	$ 18,400
Work in process inventory, beginning	17,500	21,900
Raw materials inventory, beginning	10,500	11,550
Rental cost on factory equipment	30,000	26,050
Direct labor	19,800	41,400
Finished goods inventory, ending	19,700	15,000
Work in process inventory, ending	24,700	17,000
Raw materials inventory, ending	7,500	9,000
Factory utilities	14,700	15,000
General and administrative expenses	31,500	52,500
Indirect labor	15,250	13,140
RepairsFactory equipment	7,820	3,200
Raw materials purchases	43,500	69,000
Selling expenses	52,800	54,100
Sales	270,360	399,680
Cash	20,000	17,200
Accounts receivable, net	14,400	24,200

1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for each company. Complete this question by entering your answers in the tabs below. Prepare the income statement for Garcon Company. 1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for each company. Complete this question by entering your answers in the tabs below. Prepare the current asset section of the balance sheet for Pepper Company. Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] The following data is provided for Garcon Company and Pepper Company for the year ended December 31. Exercise 18-8 (Algo) Preparing financial statements for a manufacturer LO P1 1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for each company. Complete this question by entering your answers in the tabs below. Prepare the income statement for Pepper Company. xercise 18-8 (Algo) Preparing financial statements for a manufacturer LO P1 1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for each company. Complete this question by entering your answers in the tabs below. Prepare the current asset section of the balance sheet for Garcon Company