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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

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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 6% of sales Advertising expense 13% of sales Miscellaneous administrative expense $12,000 per month plus 4% of sales Office salaries expense $48,000 per month Customer support expenses $17,000 per month plus 28% of sales Research and development expense $72,000 per month This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below. Prepare a flexible selling and administrative expenses budget for October for sales volumes of $600,000, 900,000, and $1,000,000. (Use Exhibit 5 as a model.) Enter all amounts as positive numbers. Digital Solutions Inc. Flexible Selling and Administrative Expenses Budget For the Month Ending October 31 $600,000 $900,000 $1,000,000 Total sales Variable cost: Total variable cost Fixed cost: $ Accounting numeric field Total fixed cost Total selling and administrative expenses - G H Tom 21 A D 5 LAIR Sales commissions os of was Advertising expense 13% of wales Miscellaneous administrative expense $12,000 per month 4 of was Office salaries expense $40,000 per month . Customer support expenses $17.000 per month plus 20% of sales 11 Research and development expense $72,000 per month 2 13 Select the corresponding accounts in the dropdowns in cells A2124, A27:30Using formulas and cell references, perform the required analysis and input your answers into the green cate in the CD and 14 all amounts as positive numbers. Transfer the numeric results for the green entry cells (C21:25, C27:32) into the appropriate fields in CNOW2 for grading 15 16 Digital Solutions Inc. 17 Flexible Selling and Administrative Expenses Budget 18 For the Month Ending October 31 Formulas 19 Total sales $600.000 $900 000 $1.000.000 20 Variable cost: 1 22 23 34 35 Total variable cost 26 Flwed cost Data

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