The following transactions pertain to year 1, the first-year operations of Walton Company. All inventory was started and completed during year 1. Assume that all transactions are cash transactions. 1. Acquired $4,600 cash by issuing common stock. 2. Paid $650 for materials used to produce inventory. 3. Paid $2,000 to production workers. 4. Paid $698 rental fee for production equipment 5. Paid $120 to administrative employees. 6. Paid $107 rental fee for administrative office equipment 7. Produced 310 units of inventory of which 210 units were sold at a price of $13 each. Required Prepare an income statement and a balance sheet in accordance with GAAP