Required information [The following information applies to the questions displayed below.] Benson Company began operations on January 1, Year 1, by issuing common stock for $36,000 cash. During Year 1, Benson received $65,000 cash from revenue and incurred costs that required $50,000 of cash payments. Prepare a GAAP-based income statement and balance sheet for Benson Company for Year 1, under the following independent scenario: c. Benson is a manufacturing company. The $50,000 was paid to purchase the following items: (1) Paid $3,100 cash to purchase materials that were used to make products during the year. (2) Paid $2,200 cash for wages of factory workers who made products during the year. (3) Paid $24,100 cash for salaries of sales and administrative employees. (4) Paid $20,600 cash to purchase manufacturing equipment. The equipment was used solely to make products. It had a four-year life and a $2,200 salvage value. The company uses straight-line depreciation. (5) During Year 1, Benson started and completed 2,200 units of product. The revenue was earned when Benson sold 1,850 units of product to its customers. Complete this question by entering your answer in the tabs below. Income Statement Balance Sheet Prepare an Income Statement. (Round your intermediate calculations to 2 decimal places.) BENSON COMPANY Income Statement for Year 1 Sales revenue $ 65,000 Cost of goods sold Gross margin $ 65,000 Administrative expenses 24,100 0 Net income $ 40,900 Income Statement Balance Sheet Prepare a balance sheet. (Amounts to be deducted should be indicated with a minus sign.) BENSON COMPANY Balance Sheet as of 12/31/Y1 Assets Cash Finished goods inventory Manufacturing equipment Accumulated depreciation 20,600 Total assets $ 20,600 Equity Common stock $ 36,000 Retained earnings Total equity 0 $ 36,000