5) Prepare a flexible budget for the SGA expenses at the sales levels provided: Sales commissions 9% of sales Ad expense 12% of sales Miscellaneous expense $6000 per month plus 2% of sales Office expense $20,000 per month Customer support expense $15,000 per month plus 5% of sales R&D expense $30,000 per month $400,000 $600,000 $800,000

5) Prepare a flexible budget for the SGA expenses at the sales levels provided: Sales commissions 9% of sales Ad expense 12% of sales Miscellaneous expense $6000 per month plus 2% of sales Office expense $20,000 per month Customer support expense $15,000 per month plus 5% of sales R&D expense $30,000 per month $400,000 $600,000 $800,000

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 34E: A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and...

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