The following events took place for Migliozzi Inc. during July, the first month of operations as a producer of road bikes: - Purchased $403,440 of materials - Used $340,060 of direct materials in production - Incurred $294,500 of direct labor wages - Applied factory overhead at a rate of 79% of direct labor cost - Transferred $819,120 of work in process to finished goods - Sold goods with a cost of $781,630 - Sold goods for $1,402,470 - Incurred $315,200 of selling expenses - Incurred $127,070 of administrative expenses Required: a. Prepare the July income statement for Migliozzi. Assume that Migliozzi uses the perpetual inventory method. Be sure to complete the statement heading. Refer to the list of Accounts, Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be Financial Statements of a Manufacturing Firm Instructions Accounts, Labels and Amount Descriptions Income Statement Inventory Balances Accounts, Labels and Amount Descriptions Accounts Administrative expenses Cost of goods sold Revenues Selling expenses Labels For the Month Ended July 31 July 31 Selling and administrative expenses Amount Descriptions Gross profit Income from operations Total selling and administrative expenses Income Statement a. Prepare the July income statement for Migliozzi. Assume that Migliozzi uses the perpetual inventory method. Be sure to complete the statement heading. Refer to the list of Accounts, Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive. Colons (:) will fill in where needed. Financial Statements of a Manufacturing Firm Inventory Balances b. Determine the inventory balances at the end of the first month of operations. Materials inventory, July 31 Work in process inventory, July 31 Finished goods inventory, July 31