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Ilya [14]
2 years ago
15

The Puyer Corporation makes and sells only one product called a Deb. The company is in the process of preparing its Selling and

Administrative Expense Budget for next year. The following budget data are available: Monthly Fixed Cost Variable Cost Per Deb Sold Sales commissions $ 0.96 Shipping $ 1.46 Advertising $ 50,600 $ 0.26 Executive salaries $ 60,600 Depreciation on office equipment $ 20,600 Other $ 40,600 All of these expenses (except depreciation) are paid in cash in the month they are incurred. If the company has budgeted to sell 15,600 Debs in February, then the total budgeted fixed selling and administrative expenses for February is:
Business
1 answer:
zubka84 [21]2 years ago
7 0

Answer:

Total= $159,552

Explanation:

Giving the following information:

The company has budgeted to sell 15,600 Debs in February.

Sales commissions $ 0.96*15,600= 14,976

Shipping $ 1.46 *15,600= 22,776

Executive salaries $ 60,600

Depreciation on office equipment $ 20,600

Other $ 40,600

Total= $159,552

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Gelb Company currently manufactures 43,000 units per year of a key component for its manufacturing process. Variable costs are $
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Answer:

It is cheaper to buy the component. At this level of production by $40,750.

Explanation:

Giving the following information:

Production= 43,000 units

Variable costs are $2.95 per unit

Avoidable Fixed costs= $73,000 per year

Unavoidable fixed costs= $77,500 per year.

The company is considering buying this component from a supplier for $3.70 per unit.

We need to calculate the cost of producing and buying and choose the best option.

Production:

Total cost= 43,000*2.95 + 73,000= $199,850

Buy:

Total cost= 43,000*3.7= $159,100

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In​ class, we discussed the differences between a contribution income statement versus the traditional approach​ (absorption whi
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B) Contribution margin
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What is the difference between a vocational school and on the job training
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Calgary Industries is preparing a budgeted income statement for 2015 and has accumulated the following information. Predicted sa
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Answer:

$192,500

Explanation:

budgeted net income statement

Net sales                   $750,000

<u>COGS                       ($300,000) </u>

Gross profit               $450,000

Selling expenses       ($83,000)

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EBIT                           $275,000

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Net income                $192,500

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