I am not understanding this because I had to miss a week of class, please show your work and explain what you are doing if possible please!

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 $487,500 of materials. - Used $419,300 of direct materials in production. - Incurred $360,000 of direct labor wages. - Applied factory overhead at a rate of 75% of direct labor cost. - Transferred $1,007,300 of work in process to finished goods. - Sold goods with a cost of $975,000. - Revenues earned by selling bikes, $1,745,300. - Incurred $419,300 of selling expenses. - Incurred $156,000 of administrative expenses. a. Prepare the income statement for Rushmore Biking Inc. for the month ending February 28 . Assume that Rushmore Biking Inc. uses th b. Determine the inventory balances on February 28 , the end of the first month of operations