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Goshia [24]
3 years ago
5

Crane Company makes and sells umbrellas. The company is in the process of preparing its Selling and Administrative Expense Budge

t for the last half of the year. The following budget data are available: Variable Cost Per Unit Sold Monthly Fixed Cost Sales commissions$0.60 $ 6500 Shipping1.20 Advertising0.30 Executive salaries 44000 Depreciation on office equipment 8500 Other0.35 32000 Expenses are paid in the month incurred. If the company has budgeted to sell 9000 umbrellas in October, how much is the total budgeted variable selling and administrative expenses for October
Business
1 answer:
34kurt3 years ago
3 0

Answer:

$22,050

Explanation:

The computation of the total budgeted variable selling and administrative expenses for October is shown below:

Sales Commission (9,000 × $0.60) $5,400  

Shipping (9,000 × $1.2) $10,800

Advertising (9,000 × 0.3) $2,700

Other (9,000 × .35) $3,150

Budgeted Variable Selling and admin expenses $22,050

We simply added all the variable selling and admin expenses so that the total could arrive

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