Please do not give solution in image format thanku b. Determine the inventory balances on February 28, the end of the first month of operations.Materials inventory, February 28Work in process inventory, February 28Finished goods inventory, February 28+A Financial Statements of a Manufacturing FirmThe following events took place for Rockhaven Biking Inc. during February, the first month of operations as a producer of road bikes:• Purchased $224,600 of materials.• Used $193,200 of direct materials in production.• Incurred $168,000 of direct labor wages.• Applied factory overhead at a rate of 70% of direct labor cost.• Transferred $459,600 of work in process to finished goods.• Sold goods with a cost of $447,000.• Revenues earned by selling bikes, $800,100.• Incurred $192,200 of selling expenses.• Incurred $71,500 of administrative expenses.a. Prepare the income statement for Rockhaven Biking Inc. for the month ending February 28.Rockhaven Biking Inc.Income StatementFor the Month Ended February 28AmountLine Item DescriptionRevenuesCost of goods soldGross profitSelling and administrative expenses:Selling expensesAdministrative expensesTotal selling and administrative expensesOperating income192,20071,500Amount800,100447,000353,100263,70089,400

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Description: Please do not give solution in image format thanku b. Determine the inventory balances on February 28, the end of the first month of operations.Materials inventory, February 28Work in process inventory, February 28Finished goods inventory, February 2

The financial statement which reports revenues and expenses from business operations and the result…

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b. Determine the inventory balances on February 28, the end of the first month of operations. Materials inventory, February 28 Work in process inventory, February 28 Finished goods inventory, February 28

b. Determine the inventory balances on February 28, the end of the first month of operations. Materials inventory, February 28 Work in process inventory, February 28 Finished goods inventory, February 28

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter2: Job Order Costing

Section: Chapter Questions

Problem 14E: The following events took place for Rushmore Biking Inc. during February, the first month of...

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