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 The following calendar year-end information is taken from the December 31, 2019, adjusted trial balance and other records of Leone Company. Advertising expense Depreciation expense-Office equipment Depreciation expense-Selling equipment Depreciation expense-Factory equipment Factory supervision Factory supplies used Factory utilities Inventories Raw materials, December 31, 2018 Raw materials, December 31, 2019 Work in process, December 31, 2018 Work in process, December 31, 2019 Finished goods, December 31, 2018 Finished goods, December 31, 2019 $ 28,750 7,250 8,600 33,550 102,600 7,350 33,000 Direct labor Income taxes expense Indirect labor Miscellaneous production costs office salaries expense Raw materials purchases Rent expense-office space Rent expense-Selling space Rent expense-Factory building Maintenance expense-Factory equipment Sales Sales salaries expense $ 675,480 233,725 56,875 8,425 63,000 925,000 22,000 26,100 76,800 35,400 4,462,500 392,560 166,850 182,000 15,700 19,380 167,350 136,490
2. Prepare the company's 2019 income statement that reports separate categories for (a) selling expenses and (b) general and administrative expenses LEONE COMPANY Income Statement For Year Ended December 31, 2019 Sales $ 392,560 Cost of goods sold Finished goods inventory, December 31, 2018 Cost of goods manufactured $ 166,850 166,850 136,490 30,360 362,200 Goods available for sale Less: Finished goods inventory, December 31, 2019 Cost of goods sold Gross profit from sales Operating expenses Selling expenses Advertising expense Depreciation expense-Factory equipment Maintenance expense-Factory equipment