Question

Atkinson Company has the following information: Month Budgeted Sales January $76,000 February 85,000 March 92,000 April 80,000 Budgeted Operating Expenses Per Month Wages $15,000 Advertising 12,000 Depreciation 3,000 Other expenses 4% of sales All cash expenses are paid as incurred. What are the total operating expenses budgeted for the month of April

Answer 1

Answer:

the total operating expenses budgeted for the month of April is $33,200

Explanation:

Total operating expenses budgeted for the month of April is calculated as :

Wages                                                                   15,000

Advertising                                                           12,000

Depreciation                                                          3,000

Other Operating Expense ( 80,000 × 4% )          3,200

Total                                                                      33,200

Special attention must be made on charging the 4% Other expenses on Correct Sales figure - April Sales.