Flexible Budget for Selling and Administrative Expenses for a Service Company Digital Solutions Inc. uses flexible budgets that are based on the following data: Sales commissions 14% of sales Advertising expense 20% of sales Miscellaneous administrative expense $8,000 per month plus 12% of sales Office salaries expense $30,000 per month Customer support expenses $14,000 per month plus 20% of sales Research and development expense $31,000 per month Prepare a flexible selling and administrative expenses budget for October for sales volumes of $400,000, $500,000, and $600,000. (Use Exhibits Digital Solutions Inc. Flexible Selling and Administrative Expenses Budget For the Month Ending October 31 Total sales $400,000 $500,000 $600,000 Variable cost: Sales commissions 56,000 $ 70.000 44,000 Advertising expanse 80 000 100,000 120,000 Miscellaneous administrative expense 48.000 60,000 72.000 Customer support expenses 8 (10 / 100,000 120.000 O more Check My Work uses remaining Total variable cost 26-4,000 330,000 396,000 Fixed cost: Miscellaneous administrative expense 8,000 $ 8,000 $ 8,000 V office salaries expense 29,000 X 29,000 X 29,000 X Customer support expenses 13,000 X 13,000 X 13,000 X Research and development expense 30,000 X 30,000 X 30,000 X 80,000 X 80,000 X $ 80,000 X Total fixed cost Total selling and administrative expenses 344,000 X $ 410,000 X $ 476,000 X Feedback he For each level of sales activity, show all variable expenses and all foxed expenses