Problem 1-22A Product versus SG&A costs LO 1-3 The following transactions pertain to 2018 the first-year operations of Rundle Company. All inventory was started and completed during 2018. Assume that all transactions are cash transactions. Acquired $4,600 cash by issuing common stock 2. Paid $620 for materials used to produce inventory. 3. Paid $1,960 to production workers 4. Paid $1,749 rental fee for production equipment. 5. Paid $110 to administrative employees. 6. Paid $117 rental fee for administrative office equipment. 7. Produced 390 units of inventory of which 310 units were sold at a price of $13 each. Required Prepare an income statement and a balance sheet in accordance with GAAP