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Ruddy is a retail company specializing in men's hats. Its budget director prepared the list of expected operating expenses that follows. All items are
Ruddy is a retail company specializing in men's hats. Its budget director prepared the list of expected operating expenses that follows. All items are paid when incurred except sales commissions and utilities, which are paid in the month following their incurrence. July is the first month of operations, so there are no beginning account balances. July Salary expense $18,100 August $ 18,100 September $ 18,100 Sales commissions (4 percent 2,900 2,900 2,900 of sales) Supplies expense 310 340 370 Utilities 2,400 2,400 2,400 Depreciation on store 3,600 3,600 3,600 equipment Rent 7,400 7,400 7,400 Miscellaneous 700 700 700 Total S&A expenses before $35,410 $35,440 $35,470 interest Required a. Prepare a schedule of cash payments for selling and administrative expenses. Schedule of Cash Payments for S&A Expenses July August September Salary expense Sales commissions Supplies expense Utilities Depreciation on store equipment Rent Miscellaneous Total payments for S&A expenses $ 0 $ 0 $ b. Determine the amount of utilities payable as of September 30. Utities payable c. Determine the amount of sales commissions payable as of September 30. Sales commissions payatie
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