The following events took place for Chi-Lite Inc. during June, the first month of operations as a producer of road bikes Purchased $397,940 of materials Used $343,700 of direct materials in production Incurred $290,100 of direct labor wages Applied factory overhead at a rate of 80% of direct labor cost. Transferred $813,970 of work in process to finished goods Sold goods with a cost of $799,480. Sold goods for $1,405,850 Incurred $319,590 of selling expenses Incurred $125,080 of administrative expenses Required: a. Prepare the June income statement for Chi-Lite Assume that Chi-Lite uses the perpetual inventory method. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Colons () will fit in where needed b. Determine the inventory balances at the end of the first month of operations