The following data is provided for Garcon Company and Pepper Company.

	Garcon Company					Pepper Company
Beginning finished goods inventory		$	13,700			$	18,700
Beginning work in process inventory			14,600				23,250
Beginning raw materials inventory (direct materials)			10,100				9,750
Rental cost on factory equipment			27,500				24,550
Direct labor			20,000				38,200
Ending finished goods inventory			20,000				14,200
Ending work in process inventory			24,100				18,200
Ending raw materials inventory			5,700				8,400
Factory utilities			13,950				16,000
Factory supplies used (indirect materials)			10,900				4,300
General and administrative expenses			32,000				47,500
Indirect labor			2,150				9,400
RepairsFactory equipment			6,980				3,100
Raw materials purchases			47,500				60,500
Selling expenses			50,400				50,500
Sales			226,530				297,510
Cash			22,000				22,200
Factory equipment, net			237,500				154,825
Accounts receivable, net			16,600				20,450

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.