Wala Inc. bases its selling and administrative expense budget on the number of units sold. The variable selling and administrative expense is $3.90 per unit. The budgeted fixed selling and administrative expense is $30,130 per month, which includes depreciation of $3,400. The remainder of the fixed selling and administrative expense represents current cash flows. The sales budget shows 4,200 units are planned to be sold in July.

Required:

Prepare the selling and administrative expense budget for July.

	July
Fixed selling and administrative expense
Total selling and administrative expense	0
Cash disbursements for selling and administrative expenses	$0