Fazel Company makes and sells paper products. In the coming year, Fazel expects total sales of $$19,800,000.$ There is a $7\%$ commission on sales. In addition, fixed expenses of the sales and administrative offices include the following:

Salaries

Utilities

Office space

Advertising

Required:

$$960,000$

$365,000$

$230,000$

$1,200,000$

Prepare a selling and administrative expenses budget for Fazel Company for the coming year.

Fazel Company

Selling and Administrative Expenses Budget

For the Coming Year

Variable selling expenses

Fixed expenses:

Salaries

Utilities

Office space

Advertising

Total fixed expenses

Total selling and administrative expenses