Financial Statements of a Manufacturing Firm The following events took place for Chi-Lite Inc. during June, the first month of operations as a producer of road bikes: Purchased $328,200 of materials. Used $282,300 of direct materials in production. Incurred $244,000 of direct labor wages. Applied factory overhead at a rate of 75% of direct labor cost. Transferred $680,900 of work in process to finished goods. Sold goods with a cost of $649,800. Sold goods for $1,163,100. Incurred $279,400 of selling expenses. Incurred $104,000 of administrative expenses. a. Prepare the June income statement for Chi-Lite. Assume that Chi-Lite uses the perpetual inventory method. Chi-Lite Inc. Income Statement For the Month Ended June 30 Selling and Administrative Expenses: a. Prepare the June income statement for Chi-Lite. Assume that Chi-Lite uses the perpetual inventory method. Chi-Lite Inc. Income Statement For the Month Ended June 30 Selling and Administrative Expenses: 10 Total Selling and Administrative Expenses b. Determine the inventory balances at the end of the first month of operations. Materials inventory, June 30 " Work in process inventory, June 30 " Finished goods inventory, June 30