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The following events took place for Chaterjee Manufacturing Company during January 2014, the first month of its operations as a producer of digital thermometers: a. Purchased $95,200 of materials b. Used $67,200 of direct materials in production c. Incurred $128,800 of direct labor wages d. Incurred $151,200 of factory overhead e. Transferred $303,800 of work in process to finished goods f. Sold goods with a cost of $280,000 g. Earned revenues of $450,000 h. Incurred $65,400 of selling expense i. Incurred $54,600 of administrative expense Using the above information, complete the following: a. Prepare the January 2014 income statement for Chaterjee Manufacturing Company. b. Determine the inventory balances at the end of the first month of operations.
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