Problem 1-22A (Algo) Product versus SG&A costs LO 1-3 The following transactions pertain to year 1, the first-year operations of Solomon Company. All inventory was started and completed during year 1. Assume that all transactions are cash transactions 1. Acquired $4,200 cash by issuing common stock. 2. Paid $670 for materials used to produce inventory 3. Paid $1,890 to production workers. 4. Paid $1,325 rental fee for production equipment. 5. Paid $110 to administrative employees. 6. Paid $106 rental fee for administrative office equipment 7. Produced 350 units of inventory of which 230 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.) SOLOMON COMPANY Income Statement for Year 1 5. Paid $106 rental fee for administrative office equipment. 7. Produced 350 units of inventory of which 230 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 ound your diate calculations.) Prepare an income statement in accordance with GAAP. (Do not SOLOMON COMPANY Income Statement for Year 1 Income Statement Balance Sheet > 6. Paid $106 rental fee for administrative office equipment 7. Produced 350 units of inventory of which 230 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 a ball sheet in accordance with GAAP. (Do not round your intermediate calculations.) SOLOMON COMPANY Balance Sheet as of 12/31/Year 1 Assets Total assets Equity Total equity