The following events took place for Rockhaven Biking Inc. during February, the first month of...
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The following events took place for Rockhaven Biking Inc. during February, the first month of operations as a producer of road bikes: - Purchased $644,300 of materials. - Used $554,100 of direct materials in production. - Incurred $476,000 of direct labor wages. - Applied factory overhead at a rate of 70% of direct labor cost. - Transferred $1,308,800 of work in process to finished goods. - Sold goods with a cost of $1,275,700. - Revenues earned by selling bikes, $2,283,500. - Incurred $548,600 of selling expenses. - Incurred $204,100 of administrative expenses. a. Prepare the income statement for Rockhaven Biking Inc. for the month ending February 28
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The following events took place for Rockhaven Biking Inc. during February, the first month of operations as a producer of road bikes: - Purchased $644,300 of materials. - Used $554,100 of direct materials in production. - Incurred $476,000 of direct labor wages. - Applied factory overhead at a rate of 70% of direct labor cost. - Transferred $1,308,800 of work in process to finished goods. - Sold goods with a cost of $1,275,700. - Revenues earned by selling bikes, $2,283,500. - Incurred $548,600 of selling expenses. - Incurred $204,100 of administrative expenses. a. Prepare the income statement for Rockhaven Biking Inc. for the month ending February 28 