Barnes Company expects to begin operating on January 1. The company's master budget contained the following operating expense budget:  January  February  March  Salary Expenses; $36,000 $36,000 $36,000 Sales commissions, 5% of sales 30,000  32,000  24,000 Utilities: 2,800  2,800  2,800 Depreciation on store equipment 1,000  1,000  1,000 Rent 7,200  7,200  7,200 Miscellaneous: 1,800  1,800  1,800 Total operating expenses $78,800 $80,800 $72,800   Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of accumulated depreciation appearing on the company's March 31 pro forma balance sheet is:

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Barnes Company expects to begin operating on January 1. The company's master budget contained the following operating expense budget: 

January  February  March  Salary

Expenses;

$36,000 $36,000 $36,000 Sales commissions, 5% of sales 30,000  32,000  24,000

Utilities:

2,800  2,800  2,800

Depreciation on store equipment 1,000  1,000  1,000

Rent

7,200  7,200  7,200 Miscellaneous:

1,800  1,800  1,800

Total operating expenses

$78,800 $80,800 $72,800 

 Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of accumulated depreciation appearing on the company's March 31 pro forma balance sheet is:

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