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Bee Company is a honey wholesaler An income statement and other data for the second quarter of the year are given Sales 960000 Cost of

Bee Company is a honey wholesaler An income statement and other data for the second quarter of the year are given

Sales 960000

Cost of goods sold 420000

Gross margin 54000

Selling and administrative expenses:

Selling 200000

Administrative 75000

Total Selling and administrative expenses 275000

Net operating income 265000

Other data

Average selling price $ 60 per unit

selling expenses... fixed selling expenses plus 8% of sales

Administrative expenses... fixed administrative expenses plus $2 per unit

1 - Bee company cost formula for total selling and administrative expenses with X equal to the number of units sold would be:

A Y=166200+6.80X

B Y=275000+4.80X

C Y=123200+4.80X

D Y=123200+6.80X

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