Use the following information for the Exercises below. [The following information applies to the questions displayed below.] The following data is provided for Garcon Company and Pepper Company. Garcon Pepper Company $17,950 22,050 12,750 24,550 42,200 14,600 17,600 9,200 17,000 Company 12,000 14,600 11,100 32,500 22,600 18,800 22,900 Beginning finished goods inventory Beginning work in process inventory Beginning Rental cost on factory equipment materials inventory raw Direct labor Ending finished goods inventory Ending work in process inventory Ending raw materials inventory Factory utilities Factory supplies used General and administrative expenses 7,500 9,900 10,600 4,400 54,500 8,080 3,600 68,500 53,500 315,010 18,200 127,825 20,950 32,000 Indirect labor 2,050 7,100 39,500 63,600 208,530 26,000 222,500 14,600 Repairs-Factory equipment Raw materials purchases Selling expenses Sales Cash Factory equipment, net Accounts receivable, net Exercise 1-9 Preparing financial statements for a manufacturer LO C4, P2 Required: 1-a. Prepare income statements for both Garcon Company and Pepper Company. 1-b. Prepare the current assets section of the balance sheet for each company. Complete this question by entering your answers in the tabs below. Req 1A Garcon Req 1A Pepper Req 1B Garcon Req 1B Pepper Prepare the income statement for Garcon Company. GARCON COMPANY Income Statement For Year Ended December 31, 2017 Sales 208,530 Less: Cost of goods sold (28,000) Gross profit 180,530 Operating expenses Selling expenses 63,600 General and administrative expenses 32,000 84,930 Income (loss) before tax Reg 1A Garcon > Req 1A Pepper Complete this question by entering your answers in the tabs below. Req 1A Garcon Req 1A Pepper Req 1B Garcon Req 1B Pepper Prepare the income statement for Pepper Company. PEPPER COMPANY Income Statement For Year Ended December 31, 2017 0 Operating expenses C Income (loss) before tax Req 1A Garcon Req 1B Garcon Complete this question by entering your answers in the tabs below. Req 1A Garcon Req 1A Pepper Req 1B Garcon Req 1B Pepper Prepare the current asset section of the balance sheet for Garcon Company. GARCON COMPANY Partial Balance Sheet As of December 31, 2017 Inventories: C Total current assets Req 1A Pepper Req 1B Pepper O Complete this question by entering your answers in the tabs below. Req 1A Garcon Req 1A Pepper Req 1B Garcon Req 1B Pepper Prepare the current asset section of the balance sheet for Pepper Company. PEPPER COMPANY Partial Balance Sheet As of December 31, 2017 Inventories: C Total current assets Req 1B Pepper Req 1B Garcon OO