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Thornton 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
Thornton 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 August September Salary expense Sales commissions (4 percent of sales) Supplies expense Utilities Depreciation on store equipment Rent Miscel1aneous $17,700 $17,700 $17,700 3, 600 330 1,200 2,900 5,600 640 3,600 270 1,200 2,900 5,600 640 3,600 300 1,200 2,900 5,600 640 Total S&A expenses before interest $31,910 $31,940 $31,970 Required a. Prepare a schedule of cash payments for selling and administrative expenses b. Determine the amount of utilities payable as of September 30 c. Determine the amount of sales commissions payable as of September 30 Req AReq B and C Prepare a schedule of cash payments for selling and administrative expenses. Schedule of Cash Payments for S&A Expenses July AugustSeptember Total payments for S&A expenses
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