Question
NextGen Solutions has listed the following expenses for the year: Legal consultation fees: $1,700,000 Office space lease: $3,200,000 Interest on corporate bonds: $2,400,000 Loss on
NextGen Solutions has listed the following expenses for the year:
Legal consultation fees: $1,700,000
Office space lease: $3,200,000
Interest on corporate bonds: $2,400,000
Loss on discarded equipment: $450,000
Freight in: $1,450,000
Freight out: $1,950,000
Senior executive salaries: $2,200,000
Comprehensive insurance: $1,100,000
Sales personnel salaries: $2,900,000
R&D expenditures: $1,400,000
Advertising and marketing: $1,600,000
The office space is shared equally by the sales and administrative departments.
Requirements:
Calculate the amount to be classified as general and administrative expenses.
Determine the total expenses for sales and marketing.
Compute the total financial expenses.
Identify direct and indirect expenses from the given data.
Compute the overall total expenses for NextGen Solutions.
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