Question
Bux Corporation produces and sells one product. In November it expects to sell 10,600 units of this product. The company's variable selling and administrative expense
Bux Corporation produces and sells one product. In November it expects to sell 10,600 units of this product. The company's variable selling and administrative expense are $3.70 per unit sold and its fixed selling and administrative expense is $50,000 per month. The estimated selling and administrative expense for November are closest to:
A) $50,000
B) $89,220
C) $59,480
D) $39,220
The estimated selling and administrative expense for November is computed as follows:
Budgeted unit sales |
|
|
Variable selling and administrative expense per unit | $ |
|
Total variable selling and administrative expense | $ |
|
Fixed selling and administrative expenses |
|
|
Total selling and administrative expenses | $ |
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started