Question

For the month of June, Beeman Corp. estimated sales revenue at $600,000. Beeman pays sales commissions that are 4% of sales revenue. The sales manager's salary is $285,000. Additional estimated selling expenses that total 1% of sales revenue Miscellaneous selling expenses are $15,000. How much are budgeted selling expenses for the month of July, if Beeman estimates sales revenues to be $540,000

Answer 1

Answer: $327000

Explanation:

The budgeted selling expenses for the month of July, if Beeman estimates sales revenues to be $540,000 will be:

Sales Commission = $540000 × 4% = $21600

Add: Sales Manager Salary = $285,000

Add: Additional Selling Expense = $540000 × 1% = $5,400

Add: Miscellaneous Selling Expense = $15,000

Therefore, Buedgeted Selling Expense = $327000