Financial Statements of a Manufacturing Firm The following events took place for Rockhaven Biking Inc. during February, the first month of operations as a producer of road bikes: Purchased $490,000 of materials. Used $443,500 of direct materials in production. Incurred $127,600 of direct labor wages. Applied factory overhead at a rate of 36% of direct labor cost. Transferred $585.100 of work in process to finished goods. Sold goods with a cost of $556.800. Revenues eamed by selling bikes, $921.200. Incurred $187,300 of selling expenses. Incurred $91,100 of administrative expenses. This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below. Open spreadsheet a. Prepare the income statement for Rockhaven Biking Inc. for the month ending February 28. Rockhaven Biking Inc. Income Statement For the Month Ended February 28 Selling and Administrative Expenses: Total Selling and Administrative Expenses 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 281 Finished goods inventory, February 28