Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Scotch inc has prepared the operating budget for the first quarter of the year . The company forecast sales of $50000 in January , $60000
Scotch inc has prepared the operating budget for the first quarter of the year . The company forecast sales of $50000 in January , $60000 in February, and $70000 in March. Variable and fixed expense are as follows:
Variable expenses:
Power cost (20% of sales)
Miscellaneous expense: (10% of sales )
Fixed expenses:
Salaries expense: $6000 per month
Rent expense: $5000 per month
Depreciation expense: $1200
Power cost/ fixed portion: $500 per month
Miscellaneous expenses/ fixed portion: $1000 per month
Using this information above, calculate the amount of selling and administrative expenses for the month of February.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started