The following transactions pertain to Year 1, the first year operations of Gibson Company. All inventory was started and complete during Year 1. Assume that all transactions are cash transactions, 1. Acquired $4,800 cash by issuing common stock. 2. Paid $660 for materials used to produce inventory 3. Paid $1,930 to production workers. 4. Paid $1,778 rental fee for production equipment 5. Paid $100 to administrative employees. 6. Paid $116 rental fee for administrative office equipment 7. Produced 390 units of inventory of which 290 units were sold at a price of S14 each. Required Prepare an income statement and a balance sheet in accordance with GAAP. Income Statement Balance Sheet Prepare an income statement. (Do not round your intermec GIBSON COMPANY Income Statement for Year 1 Sales revenue Cost of goods sold Gross margin Administrative expense $ 1,778 0 I Net income $ 1.778 Prepare a balance sheet. (Do not round your intermediate calcul GIBSON COMPANY Balance Sheet as of 12/31/41 Assets Cash Finished goods inventory $ 0 | 6 0 Total assets Equity Common stock Retained earnings $ 0 69 0 Total equity