Exercise 14-11 Preparing a schedule of cash payments for selling and administrative expenses LO 14-4 The budget director for Finch Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance. Salary is paid in the month following the month in which it is incurred. The insurance premium for six months is paid on October 1. October is the first month of operations; accordingly, there are no beginning account balances. Required a. Complete the schedule of cash payments for S&A expenses by filling in the missing amounts b. Determine the amount of salaries payable the company will report on its pro forma balance sheet at the end of the fourth quarter. c. Determine the amount of prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter. Complete this question by entering your answers in the tabs below. Req B and C Req A Complete the schedule of cash payments for S&A expenses by filling in the missing amounts. November December October Budgeted S&A Expenses Equipment lease expense 6,100 $ 6,100 6,100 Salary expense 6,600 7,100 7,500 Cleaning supplies 2,790 2,890 3,070 Insurance expense 1,600 1,600 1,600 Depreciation on computer 2,400 2,400 2,400 Rent 2,200 2,200 2,200 Miscellaneous expenses 620 620 620 22,810 $ 23,490 Total operating expenses 22,410 Schedule of Cash Payments for S&A Expenses Equipment lease expense Prior month's salary expense, 100% Cleaning supplies Insurance premium Depreciation on computer Rent Miscellaneous expenses 21,410 $ 18,310 $ 19,090 Total disbursements for operating expenses Complete this question by entering your answers in the tabs below. Req A Req B and C Determine the amount of salaries payable and prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter b. Salaries payable c. Prepaid insurance Req A > Req B and C