Financial Statements of a Manufacturing Firm The following events took place for Rushmore Biking Inc. during February, the first month of operations as a producer of road bikes: Purchased $564,000 of materials. Used $485,000 of direct materials in production. Incurred $416,000 of direct labor wages. Applied factory overhead at a rate of 75% of direct labor cost. Transferred $1,164,500 of work in process to finished goods. Sold goods with a cost of $1,122,400. .Revenues earned by selling bikes, $2,009,100. Incurred $482,600 of selling expenses. Incurred $179,600 of administrative expenses. a. Prepare the income statement for Rushmore Biking Inc. for the month ending February 288. Assume that Rushmore Biking Inc. uses the perpetual inventory method Gross profit Rushmore Biking Inc. Income Statement For the Month Ended February 28 Revenues Selling and administrative expenses