1. Fillmore, Inc., expects sales of its housing for electric motors to be $88,000, $76,000, and $92,000 for January, February, and March, respectively. Its variable selling and administrative expenses are 8 percent of sales, and fixed selling and administrative expenses are $11,000 per month. Compute Fillmores selling and administrative expense budget for January, February, and March.

2. Getty Company expects sales for the first three months of next year to be $180,000, $260,000 and $285,000, respectively. Getty expects 20 percent of its sales to be cash and the remainder to be credit sales. The credit sales will be collected as follows: 10 percent in the month of the sale and 90 percent in the following month. Compute a schedule of Gettys cash receipts for the months of February and March.