Zelia, Inc. has prepared the operating budget for the first quarter of the year. The company forecast sales of $45,000.00 in January, $55,000.00 in February, and $65,000.00 in March. Variable and fixed expenses are as follows:

Variable Expenses:

Power cost (30% of sales)Miscellaneous expenses: (15%of sales) Fixed Expenses:

Salaries expense: $6,000.00 per month

Rent expense:

$4,000.00per month

Depreciation expense:

$1,000.00

per month

Power cost/fixed portion:

$500.00 per month

Miscellaneous expenses/fixed portion:

$1,200.00 per month

Using the information above, calculate the amount of budgeted selling and administrative expenses for the month of February.

A.

$24,750.00

B.

$37,450.00

C.

$32,950.00

D. 41,950.00

Seaworthy Company, a merchandising company, has prepared the following sales budget:

Month	Budgeted Sales
March	$500,000.00
April	193,000
May	234,000
June	246,000

Cost of goods sold is budgeted at 50% of sales, and the inventory at the end of February was $36,000.00.

Desired inventory levels at the end of each month are 20% of the next month's cost of goods sold. What is the desired beginning inventory on June 1?

A. $49,200.00

B. $24,600.00

C. $23,400.00

D. $114,500.00

Fedor, Inc. has prepared the following direct materials purchases budget:

Month	Budgeted DM Purchases
June	$67,000.00
July	78,500
August	77,500
September	78,500
October	78,200

All purchases are paid for as follows: 40% in the month of purchase, 50% in the following month, and 10%two months after purchase. Calculate total budgeted cash payments made in October for purchases.

A. $78,280.00

B. $70,530.00

C. $47,000.00

D. $39,030.00