Calculator Financial Statements of a Manufacturing Firm The following events took place for Rushmore Biking Inc. Ouring February, the first month of operations as a producer of road bikes: . Purchased $345,100 of materials . Used $296,000 of direct materials in production Incurred 256,000 of direct labor wages. Applied factory overhead at a rate of 75% of direct labor cost . Transferred $715,000 of work in process to the goods Sold goods with a cost of 68,300 Revenues earned by senge, 1.223,100 Incurred $293.800 of selling expenses . Securred $109,300 of administrative expenses a. Prepare the income statement for Rushmorebking Inc. for the month ending February 28. Assume that Rushmore kingine uses the perpetual Inventory method Rushmore ing Inc. Income Statement For the Month Ended February 28 Totalling and diverses Mp@moloz O PESON Home End Poup Poon . 75 96 5 & 7 4 6 8 9 0 R T Y U o P F G H K L ? NI MA Transferred $15,000 of work in process to finished goods, . Sold goods with a cost of $633,300. . Revenues camed by selling bikes, $1,223,100 incurred 5293,800 of selling expenses incurred $109,300 of administrative expenses a. Prepare the income statement for Rushmore Biking Inc. for the month ending February 28 Assume that Rushmore kingine uses the perpetual entory method Rushmore Biking Inc Income Statement For the Month Ended February 28 Seling and administrative per: 11 10 b. Determine the inventory balances on February 28, the end of the first month of operations Materials inventory, February 28 Work in process inventory, February 20 Finished goods inventory, February 28 Mpoto o 9 Prisen PT Home End PgUp 990 Pgon les $ 4 96 5 6 & 7 8 9 0 R T Y U o F G H . L ? V . N M