Flexible Budget for Selling and Administrative Expenses for a Service company

Morningside Technologies Inc. uses flexible budgets that are based on the following data:

Sales commissions	15% of sales
Advertising expense	12% of sales
Miscellaneous administrative expense	$8,000 per month plus 10% of sales
Office salaries expense	$32,000 per month
Customer support expenses	$14,000 per month plus 18% of sales
Research and development expense	$35,000 per month

Prepare a flexible selling and administrative expenses budget for April for sales volumes of $400,000, $500,000, and $600,000.

MORNINGSIDE TECHNOLOGIES INC.
Flexible Selling and Administrative Expenses Budget
For the Month Ending April 30
Total sales	$400,000	$500,000	$600,000
Variable cost:
Sales commissions	$	$	$
Advertising expense
Miscellaneous administrative expense
Customer support expense
Total variable cost	$	$	$
Fixed cost:
Miscellaneous administrative expense	$	$	$
Office salaries expense
Customer support expense
Research and development expense
Total fixed cost	$	$	$
Total selling and administrative expenses	$	$	$

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