EDOOR SHOW ME HOW i Calculator Flexible Budget for Selling and Administrative Expenses for a Service Company Cloud Productivity Inc. uses flexible budgets that are based on the following data: Sales commissions Advertising expense 14% of sales 18% of sales $9,000 per month plus 12% of sales Miscellaneous administrative expense $28,000 per month Office salaries expense Customer support expenses $12,000 per month plus 20% of sales Research and development expense $32,000 per month Prepare a flexible selling and administrative expenses budget for March for sales volumes of $400,000, $500,000, and $600,000. (Use Exhibit 5 as a model.) Cloud Productivity Inc. Flexible Selling and Administrative Expenses Budget For the Month Ending March 31 Total sales $400000 $500000 Variable cost: Sales commissions $600000 Advertising expense Miscellaneous administrative expense Customer support expenses Total variable cost Fixed cost: Miscellaneous administrative expense s Total variable cost Fixed cost: Miscellaneous administrative expense 1000 Office salaries expense Customer support expenses Research and development expense Total fixed cost Total selling and administrative expenses Feedback Check My Work For each level of sales activity, show all variable expenses and all fixed expenses. Learning Objective 2, Learning Objective 4