Lockwood Company combines its operating expenses for budget purposes in a selling and administrative expenses budget. For the first six months of 2020, the following data are available:

1.		Sales: 20,600 units in quarter 1; 22,200 units in quarter 2
2.		Variable costs per dollar of sales: sales commissions 5%; delivery expense 2%; and advertising 4%
3.		Fixed costs per quarter: sales salaries $10,500; office salaries $8,700; depreciation $3,900; insurance $1,400; utilities $800; and repairs expense $400
4.		Unit selling price: $19

Prepare a selling and administrative expenses budget by quarters for the first six months of 2020.

LOCKWOOD COMPANY Selling and Administrative Expenses Budget For the Six Months Ending June 30, 2020
		1		2		Total
Operating ExpensesTotal Selling and Administrative ExpenseBudgeted SalesFixed ExpensesVariable Expenses		$		$		$
Variable ExpensesOperating ExpensesFixed ExpensesBudgeted SalesTotal Selling and Administrative Expense		$		$		$
Budgeted SalesOperating ExpensesFixed ExpensesTotal Selling and Administrative ExpenseVariable Expenses
Variable ExpensesBudgeted SalesFixed ExpensesOperating ExpensesTotal Selling and Administrative Expense		$		$		$

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