Cloud Productivity Inc. uses flexible budgets that are based on the following data: Sales commissions . .

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Cloud Productivity Inc. uses flexible budgets that are based on the following data:

Sales commissions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14% of sales

Advertising expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18% of sales

Miscellaneous administrative expense . . . . . . . . . . $6,500 per month plus 12% of sales

Office salaries expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $28,000 per month

Customer support expenses . . . . . . . . . . . . . . . . $12,000 per month plus 20% of sales

Research and development expense . . . . . . . . . . . . . . . . . . . . . . . . $30,000 per month

Prepare a flexible selling and administrative expenses budget for March 2016 for sales volumes of $400,000, $500,000, and $600,000.

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Related Book For  book-img-for-question

Accounting

ISBN: 978-1285743615

26th edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

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