Rizzuto Company Supplied the Following Information for the Month of January

question 78

Essay

Rizzuto Company supplied the following information for the month of January.
Required: Reconstruct Rizzuto's Income Statement for January assuming that the total sales revenue for the month equalled $500,000.
$$\begin{array} { l r } \text { Cost of goods sold percentage } & 62 \% \\\text { Selling expense percentage } & 6 \% \\\text { Administrative expense } & 13 \%\end{array}$$

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Definitions:

Demographic

Statistical data relating to the population and particular groups within it, used to identify markets and understand consumer segments.

Geographic

Pertaining to the physical locations or regions, often used in marketing to describe the distribution of markets or the targeting of customers based on where they live.

Behavioral

Pertaining to actions or reactions of persons or organisms in response to external or internal stimuli.

Price Sensitivity

The degree to which the demand for a product or service is affected by changes in its price.