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Prepare a monthly flexible selling expenses budget for Cottonwood Company for sales volumes of $300,000, $350,000, and $400,000, based on the following data: Line Item
Prepare a monthly flexible selling expenses budget for Cottonwood Company for sales volumes of $300,000, $350,000, and $400,000, based on the following data:
Line Item Description | Value |
---|---|
Sales commissions | 6% of sales |
Sales manager's salary | $120,000 per month |
Advertising expense | $90,000 per month |
Shipping expense | 1% of sales |
Miscellaneous selling expense | $6,000 per month plus 1.5% of sales |
Line Item Description | Amount | Amount | Amount |
---|---|---|---|
Sales volume | $Sales volume | $Sales volume | $Sales volume |
Variable expense: | |||
Sales commissions | $Sales commissions | $Sales commissions | $Sales commissions |
Shipping expense | Shipping expense | Shipping expense | Shipping expense |
Miscellaneous selling expense | Miscellaneous selling expense | Miscellaneous selling expense | Miscellaneous selling expense |
Total variable expenses | $Total variable expenses | $Total variable expenses | $Total variable expenses |
Fixed expense: | |||
Sales manager's salary | $Sales manager's salary | $Sales manager's salary | $Sales manager's salary |
Advertising expense | Advertising expense | Advertising expense | Advertising expense |
Miscellaneous selling expense | Miscellaneous selling expense | Miscellaneous selling expense | Miscellaneous selling expense |
Total fixed expenses | $Total fixed expenses | $Total fixed expenses | $Total fixed expenses |
Total selling expenses | $Total selling expenses | $Total selling expenses | $Total selling expenses |
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