Empire Company is a manufacturer of smart phones. Its controller resigned in October 2020. An inexperienced assistant accountant has prepared the following income statement for the month of October 2020. EMPIRE COMPANY Income Statement For the Month Ended October 31, 2020 Sales revenue $794,100 Less: Operating expenses Raw materials purchases $264,800 Direct labor cost 188,800 Advertising expense 92,100 Selling and administrative salaries 76,400 Rent on factory facilities 62,900 Depreciation on sales equipment 45,800 Depreciation on factory equipment 32,900 Indirect labor cost 29.100 Utilities expense 12,900 Insurance expense 8,300 814,000