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The actual selling expenses incurred in March 2017 by Fallon Company are as follows. Variable Expenses Fixed Expenses Sales commissions $14,688 Sales salaries $34,600 Advertising

The actual selling expenses incurred in March 2017 by Fallon Company are as follows.

Variable Expenses

Fixed Expenses

Sales commissions $14,688 Sales salaries $34,600
Advertising 10,476 Depreciation 6,600
Travel 6,924 Insurance 2,000
Delivery 3,552

(a) Prepare a flexible budget performance report for March, assuming that March sales were $173,100. Variable costs and their percentage relationship to sales are sales commissions 8%, advertising 6%, traveling 4%, and delivery 2%. Fixed selling expenses will consist of sales salaries $34,600, Depreciation on delivery equipment $6,600, and insurance on delivery equipment $2,000. (List variable costs before fixed costs.)

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