The following calendar year-end information is taken from the December 31, 2017, adjusted trial balance and other records of Leone Company.

Advertising expense	$	29,200		Direct labor	$	694,600
Depreciation expenseOffice equipment		11,600		Income taxes expense		295,300
Depreciation expenseSelling equipment		10,300		Indirect labor		57,100
Depreciation expenseFactory equipment		33,400		Miscellaneous production costs		10,500
Factory supervision		126,900		Office salaries expense		62,000
Factory supplies used		9,200		Raw materials purchases		929,000
Factory utilities		40,000		Rent expenseOffice space		29,000
Inventories				Rent expenseSelling space		27,100
Raw materials, December 31, 2016		154,300		Rent expenseFactory building		80,700
Raw materials, December 31, 2017		191,000		Maintenance expenseFactory equipment		37,000
Work in process, December 31, 2016		18,600		Sales		4,585,200
Work in process, December 31, 2017		24,200		Sales salaries expense		390,000
Finished goods, December 31, 2016		161,000
Finished goods, December 31, 2017		143,100

2. Prepare the companys 2017 income statement that reports separate categories for (a) selling expenses and (b) general and administrative expenses.