Flexible budgets are used to control selling expenses.

Monthly sales are expected to be from $$400,000$ to $$480,000.$

Variable costs and their percentage relationships to sales are:

Sales commissions

$6\%$

Advertising

$4\%$

Traveling

$5\%$

Delivery

$2\%$

Fixed selling expenses consist of sales salaries $$80,000$ and depreciation on delivery equipment $$20,000.$

Instructions

Prepare a flexible budget for increments for $$400,000$ of sales within the relevant range.