Munoz Manufacturing Company started operations on January $1,$ Year $1.$ During Year $1,$ the company engaged in the following transactions. Munoz Manufacturing Company started operations on January $1,$ Year $1.$ During Year $1,$ the company engaged in the following

transactions.

Issued common stock for $$79,000.$

Paid $$40,000$ cash to purchase raw materials used to make products.

Transferred $$28,000$ of raw materials to the production department.

Paid $$29,000$ cash for labor used to make products.

Paid $$46,000$ cash for overhead costs $($assume actual and estimated overhead are the same$).$

Finished work on products that cost $$90,000$ to make.

Sold products that cost $$73,000$ to make for $$96,500$ cash.

Required

a$.$ Prepare the December $31,$ Year $1,$ balance sheet.

b$.$ Prepare the December $31,$ Year $1,$ income statement.

Complete this question by entering your answers in the tabs below.

Required $A$

Prepare the December $31,$ Year $1,$ balance sheet.

Issued common stock for $$79,000.$

Paid $$40,000$ cash to purchase raw materials used to make products.

Transferred $$28,000$ of raw materials to the production department.

Paid $$29,000$ cash for labor used to make products.

Paid $$46,000$ cash for overhead costs $($assume actual and estimated overhead are the same$).$

Finished work on products that cost $$90,000$ to make.

Sold products that cost $$73,000$ to make for $$96,500$ cash.

Required

Prepare the December $31,$ Year $1,$ balance sheet.

Prepare the December $31,$ Year $1,$ income statement.