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Question - The following transactions pertain to 2015, the first-year operations of Bailey Company. All inventories was started and completed during 2015. Assume that all transactions are cash transactions.
1. Acquired $4,500 cash by issuing common stock.
2. Paid $660 for materials used to produce inventory.
3. Paid $1,840 to production workers.
4. Paid $1,244 rental fee for production equipment.
5. Paid $100 to administrative employees.
6. Paid $116 rental fee for administrative office equipment.
7. Produced 360 units of inventory of which 290 units were sold at a price of $13 each.
1. Prepare an income statement. (Do not round intermediate calculations.).
2. Prepare a balance sheet.
3. Prepare statement of cash flows. (Do not round intermediate calculations. Amounts to be deducted should be indicated with a minus sign.).