Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. flexible budget for selling and administrative exp

Flexible Budget for Selling and Administrative Expenses for a Service Company Morningside Technologies Inc. uses...

90.2K

Verified Solution

Question

Accounting

Flexible Budget for Selling and Administrative Expenses for a Service Company

Morningside Technologies Inc. uses flexible budgets that are based on the following data:

Sales commissions 8% of sales
Advertising expense 15% of sales
Miscellaneous administrative expense $1,300 per month plus 1% of sales
Office salaries expense $12,000 per month
Customer support expenses $1,800 plus 2% of sales
Research and development expense 2,400 per month

Prepare a flexible selling and administrative expenses budget for April for sales volumes of $80,000, $100,000, and $120,000. Enter all amounts as positive numbers.

Morningside Technologies Inc.
Flexible Selling and Administrative Expenses Budget
For the Month Ending April 30
Total sales $80,000 $100,000 $120,000
Variable cost:
Sales commissions $ $ $
Advertising expense
Miscellaneous administrative expense
Customer support expenses
Total variable cost $ $ $
Fixed cost:
Miscellaneous administrative expense $ $ $
Office salaries expense
Customer support expenses
Research and development expense
Total fixed cost $ $ $
Total selling and administrative expenses $ $ $

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students