The following calendar year-end information is taken from the December 31, 2017, adjusted trial balance and other records of Leone Company. Advertising expense Depreciation expense-Office equipment Depreciation expense-Selling equipment Depreciation expense-Factory equipment Factory supervision Factory supplies used Factory utilities Inventories Raw materials, December 31, 2016 Raw materials, December 31, 2017 Work in process, December 31, 2016 Work in process, December 31, 2017 Finished goods, December 31, 2016 Finished goods, December 31, 2017 $ 27,000 Direct labor 8,700 Income taxes expense 9,900 Indirect labor 38,900 Miscellaneous production costs 117,100 Office salaries expense 9,500 Raw materials purchases 40,000 Rent expense-Office space Rent expense-Selling space 160,600 Rent expense-Factory building 178,000 Maintenance expense-Factory equipment 17,100 Sales 22,300 Sales salaries expense 165, 100 136,100 $ 694,300 298,100 57,000 11,000 73,000 986,000 27,000 26,100 78,900 38,100 4,595,900 393,400 LEONE COMPANY Income Statement For Year Ended December 31, 2017 Cost of goods sold Goods available for sale Cost of goods sold Operating expenses Selling expenses Total sellina expenses General and administrative expenses Total general and administrative expenses Total operating expenses Income before taxes Net income