The budget director for Fanning Cleaning Services prepared the following list of expected selling and administrative expenses All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance Salary is paid in the month following the month in which it is incurred The insurance premium for six months is paid on October 1 October is the first month of operations accordingly, there are no beginning account balances Required Complete the schedule of cash payments for S A expenses by filling in the missing amounts Determine the amount of salaries payable the company will report on its pro forma balance sheet at the end of the fourth quarter Determine the amount of prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter Complete the schedule of cash payments for S A expenses by filling in the missing amounts October November December Budgeted S A Expenses Equipment lease expense $6,900 $6,900 $6,900 Salary expense 6,200 6,700 7,100 Cleaning supplies 2,840 2,770 3,090 Insurance expense 1,800 1,800 1,800 Depreciation on computer 2,500 2,500 2,500 Rent 2,000 2,000 2,000 Miscellaneous expenses 630 630 630 Total operating expenses $22,870 $23,300 $24,020 Schedule of Cash Payments for S A Expenses Equipment lease expense Prior months salary expense, 100 Cleaning supplies Insurance premium Depreciation on computer Rent Miscellaneous expenses Total disbursements for operating expenses $23,170 $18,500 $19,320

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The budget director for Fanning Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for

The budget director for Fanning Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance. Salary is paid in the month following the month in which it is incurred. The insurance premium for six months is paid on October 1. October is the first month of operations; accordingly, there are no beginning account balances.

Required

Complete the schedule of cash payments for S&A expenses by filling in the missing amounts.
Determine the amount of salaries payable the company will report on its pro forma balance sheet at the end of the fourth quarter.
Determine the amount of prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter.

Complete the schedule of cash payments for S&A expenses by filling in the missing amounts.

	October	November	December
Budgeted S&A Expenses
Equipment lease expense	$6,900	$6,900	$6,900
Salary expense	6,200	6,700	7,100
Cleaning supplies	2,840	2,770	3,090
Insurance expense	1,800	1,800	1,800
Depreciation on computer	2,500	2,500	2,500
Rent	2,000	2,000	2,000
Miscellaneous expenses	630	630	630
Total operating expenses	$22,870	$23,300	$24,020
Schedule of Cash Payments for S&A Expenses
Equipment lease expense
Prior months salary expense, 100%
Cleaning supplies
Insurance premium
Depreciation on computer
Rent
Miscellaneous expenses
Total disbursements for operating expenses	$23,170	$18,500	$19,320