The following events took place for Focault Inc. during July 20Y2, the first month of operations as a producer of road bikes: . Purchased $396,000 of materials . Used $341,540 of direct materials in production . Incurred $296,900 of direct labor wages Applied factory overhead at a rate of 70% of direct labor cost . Transferred $817,280 of work in process to finished goods Sold goods with a cost of $798,500 . Sold goods for $1,392,000 Incurred $312,020 of selling expenses . Incurred $121,530 of administrative expenses Required A. Prepare the July income statement for Focault. Assume that Focault 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 B. Determine the inventory balances at the end of the first month of operations