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The following transactions pertain to 2018, the first-year operations of Rundle Company. All inventory was started and completed during 2018. Assume that all transactions are
The following transactions pertain to 2018, the first-year operations of Rundle Company. All inventory was started and completed during 2018. Assume that all transactions are cash transactions.
- Acquired $4,300 cash by issuing common stock.
- Paid $680 for materials used to produce inventory.
- Paid $1,860 to production workers.
- Paid $1,024 rental fee for production equipment.
- Paid $90 to administrative employees.
- Paid $110 rental fee for administrative office equipment.
- Produced 330 units of inventory of which 270 units were sold at a price of $13 each.
Required
Prepare income statement and a balance sheet in accordance with GAAP.
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