Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Vernon 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

image text in transcribed
image text in transcribed
Vernon 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 $17,400 $17,400 $17,400 Sales comissions (4 percent of sales) 3,500 3,500 3.500 Supplies expense 350 350 Utilities 410 1,900 1,900 1,900 Depreciation on store equipoent 2,200 2,200 2,200 Rent 7,000 7.000 7.00 Miscellaneous 690 Total SA expenses before interest $33,000 $33,070 533,100 690 690 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 Complete this question by entering your answers in the tabs below. Rega Regti and Prepare a schedule of cash paytrients for selling and administrative expenses. Schedule of Cash Payments for 58A Expenses July August September Total pay for Spee Reg Band C > Vernon 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 fust month of operations, so there are no beginning account balances July August September Salary expense $17,400 $17,400 $17,000 Sales comissions (4 percent of sales) 3,500 3,500 3,500 Supplies expense 410 Utilities 1,900 1,900 1,900 Depreciation on store equipoent 2,200 2,200 2,200 Rent 7,000 7,000 7,600 Miscellaneous 600 690 Total ska expenses before interest $33,040 533,070 $33,100 5:47 380 690 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 Complete this question by entering your answers in the tabs below. REGA Rea Band Determine the amount of utilities payable and sales commissions payable is of September 30, Utilities payable Sales commessions payable

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions