TranscribedText: Sullivan, Inc., sells tire rims. Its sales budget and inventory, purchases, and cost of goods sold budget for the nine months ended September 30, 2024, follow: Sullivan's selling and administrative expenses include the following: (Click the icon to view the sales budget and inventory, purchases, and cost of goods sold budget.) (Click the icon to view the expenses.) Prepare a selling and administrative expense budget for each of the three quarters of 2024 and totals for the nine-month period. Sullivan, Inc. Selling and Administrative Expense Budget - X Reference Nine Months Ended September 30, 2024 Quarter Quarter Quarter Ended Ended Ended Nine-month Sullivan, Inc. March 31 June 30 September 30 Total Sales Budget Variable expenses: Nine Months Ended September 30, 2024 Quarter Ended Nine-Month March 31 June 30 September 30 Total Total variable expenses Cash sales, 30% $ 45,000 $ 60,000 $ 52,500 $ 157,500 Fixed expenses: Credit sales, 70% 105,000 140,000 122,500 367,500 150,000 200,000 525,000 Total sales 175,000 Sullivan, Inc. Inventory, Purchases, and Cost of Goods Sold Budget Total fixed expenses Nine Months Ended September 30, 2024 Total selling and administrative expenses Quarter Ended Quarter Ended Quarter Ended Nine-Month March 31 June 30 September 30 Total Cost of goods sold $60,000 $80,000 $70,000 $210,000 - X Plus: Desired ending merchandise inventory $43,000 $42,000 $45,000 Data table Total merchandise inventory required $103,000 $122,000 $115,000 Less: Beginning merchandise inventory $37,000 $43,000 $42,000 Rent, $1,000 per month $66,000 $79,000 $73,000 Budgeted purchases Salaries, $3,800 per month Commissions, 3% of sales Depreciation, $1,800 per month Print Done Miscellaneous expenses, 2% of sales Print Done

Sullivan, Inc., sells tire rims. Its sales budget and inventory, purchases, and cost of goods sold budget for the nine months ended September 30, 2024, follow: (Click the icon to view the sales budget and inventory, purchases, and cost of goods sold budget.) Variable expenses: Total variable expenses Fixed expenses: Total fixed expenses Total selling and administrative expenses Sullivan, Inc. Selling and Administrative Expense Budget Nine Months Ended September 30, 2024 Quarter Quarter Ended Ended Quarter Ended March 31 June 30 September 30 Nine-month Total Data table Rent, $1,000 per month Salaries, $3,800 per month Commissions, 3% of sales Depreciation, $1,800 per month Miscellaneous expenses, 2% of sales Print Done Sullivan's selling and administrative expenses include the following: (Click the icon to view the expenses.) Prepare a selling and administrative expense budget for each of the three quarters of 2024 and totals for the nine-month period. Reference Sullivan, Inc. Sales Budget Nine Months Ended September 30, 2024 Quarter Ended Nine-Month March 31 June 30 September 30 Total Cash sales, 30% $ 45,000 $ 105,000 60,000||$ 140,000 Credit sales, 70% $ 150,000 $ 200,000 $ 52,500 $ 122,500 175,000||$ 157,500 367,500 525,000 Total sales Sullivan, Inc. Inventory, Purchases, and Cost of Goods Sold Budget Nine Months Ended September 30, 2024 Quarter Ended March 31 Quarter Ended June 30 Quarter Ended September 30 Nine-Month Total $210,000 Cost of goods sold $60,000 $80,000 $70,000 Plus: Desired ending merchandise inventory Total merchandise inventory required $43,000 $42,000 $45,000 $103,000 $122,000 $115,000 $37,000 $43,000 $42,000 Less: Beginning merchandise inventory Budgeted purchases $66,000 $79,000 $73,000 Print Done