Financial statements of a manufacturing firm The following events took place for Sorensen Manufacturing Company during January, the first month of its operations as a producer of digital video monitors: a. Purchased $271,000 of materials. b. Used $195,120 of direct materials in production. c. Incurred $487,800 of direct labor wages. d. Incurred $195,100 of factory overhead. e. Transferred $823,800 of work in process to finished goods. f. Sold goods for $1,300,800. g. Sold goods with a cost of $731,700. h. Incurred $233,100 of selling expense. i. Incurred $135,500 of administrative expense. 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. x Open spreadsheet Using the information given, complete the following: a. Prepare the January income statement for Sorensen Manufacturing Company. Round your answers to the nearest dollar. Sorensen Manufacturing Company Income Statement For the Month Ended January 31 Gross profit $ Administrative expenses Operating expenses: Total operating expenses b. Determine the inventory balances at the end of the first month of operations. Round your answers to the nearest dollar. Sorensen Manufacturing Company Inventory Balances For the Month Ended January 31 Inventory balances on January 31: Materials A Work in process $ $ Finished goods