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Flexible Budget for Selling and Administrative Expenses Fuller Enterprises uses flexible budgets that are based on the following data: Sales commissions 6% of sales Advertising

Flexible Budget for Selling and Administrative Expenses

Fuller Enterprises uses flexible budgets that are based on the following data:

Sales commissions 6% of sales
Advertising expense 20% of sales
Customer support expense $2,000 plus 16% of sales
Office salaries expense $30,000 per month
Miscellaneous administrative expense $3,000 plus 5% of sales
Research and development expense $10,000 per month

Prepare a flexible selling and administrative expenses budget for July for sales volumes of $600,000, $800,000, and $1,000,000. (Use Exhibit 5 as a model.) Enter all amounts as positive numbers.

FULLER ENTERPRISES
Flexible Selling and Administrative Expenses Budget
For the Month Ending July 31
Total sales $600,000 $800,000 $1,000,000
Variable cost:
Sales commissions $fill in the blank 2 $fill in the blank 3 $fill in the blank 4
Advertising expense fill in the blank 6 fill in the blank 7 fill in the blank 8
Customer support expense fill in the blank 10 fill in the blank 11 fill in the blank 12
Miscellaneous administrative expense fill in the blank 14 fill in the blank 15 fill in the blank 16
Total variable cost $fill in the blank 17 $fill in the blank 18 $fill in the blank 19
Fixed cost:
Customer support expense $fill in the blank 21 $fill in the blank 22 $fill in the blank 23
Office salaries expense fill in the blank 25 fill in the blank 26 fill in the blank 27
Miscellaneous administrative expense fill in the blank 29 fill in the blank 30 fill in the blank 31
Research and development expense fill in the blank 33 fill in the blank 34 fill in the blank 35
Total fixed cost $fill in the blank 36 $fill in the blank 37 $fill in the blank 38
Total selling and administrative expenses $fill in the blank 39 $fill in the blank 40 $fill in the blank 41

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