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[The following information applies to the questions displayed below.] The following data is provided for Garcon Company and Pepper Company. Beginning finished goods inventory Beginning work in process inventory Beginning raw materials inventory (direct materials) Rental cost on factory equipment Direct labor Ending finished goods inventory Ending work in process inventory Ending raw materials inventory Factory utilities Factory supplies used (indirect materials) General and administrative expenses Indirect labor Repairs-Factory equipment Raw materials purchases Selling expenses Sales Cash Factory equipment, net Accounts receivable, net Garcon Company $ 13,500 18,100 8,400 32,500 21,000 20,900 25,300 6,200 14,100 10,300 34,500 1,300 7,100 38,500 52,400 222,030 32,000 232,500 13,600 Pepper Company $ 19,450 22,200 12,750 25,450 42,600 14,800 18,200 9,400 13,750 3,400 49,000 9,460 1,700 69,500 50,500 330,010 16,700 136,825 19,950 Required: 1. Prepare income statements for both Garcon Company and Pepper Company. 2. Prepare the current assets section of the balance sheet for each company. GARCON COMPANY Income Statement For Year Ended December 31, 2019 Sales $ 222,030 222,030 Less: Cost of goods sold Gross profit Operating expenses General and administrative expenses Selling expenses Rental cost on factory equipment Income (loss) before tax $ 222,030 PEPPER COMPANY Income Statement For Year Ended December 31, 2019 0 Operating expenses Income (loss) before tax $ $ 0 GARCON COMPANY Partial Balance Sheet As of December 31, 2019 Inventories: 0 Total current assets $ O PEPPER COMPANY Partial Balance Sheet As of December 31, 2019 Inventories: 0 Total current assets $ 0