The following transactions pertain to 2018, the first-year operations of Rooney Company. All inventory was started and completed during 2018. Assume that all transactions are cash transactions.

Acquired $4,600 cash by issuing common stock.

Paid $690 for materials used to produce inventory.

Paid $1,880 to production workers.

Paid $1,648 rental fee for production equipment.

Paid $140 to administrative employees.

Paid $115 rental fee for administrative office equipment.

Produced 380 units of inventory of which 300 units were sold at a price of $13 each.

Required

Prepare an income statement and a balance sheet in accordance with GAAP.

ROONEY COMPANY

Income Statement for 2018
Sales revenue
Gross margin	$0
Administrative expense
Net income	$0

ROONEY COMPANY

Balance Sheet as of 12/31/2018
Assets
Total assets	$0
Equity
Total equity	$0