Flexible Budget for Selling and Administrative Expenses for a Service Company Digital Solutions Inc. uses flexible budgets that are based on the following data: Sales commissions 8% of sales 15% of sales $10,000 per month plus 4% of sales $50,000 per month $20,000 per month plus 30% of sales $75,000 per month. Advertising expense Miscellaneous administrative expense Office salaries expense Customer support expenses Research and development expense Prepare a flexible selling and administrative expenses budget for October for sales volumes of $500,000, $750,000, and $1,000,000. (Use E Digital Solutions Inc. Flexible Selling and Administrative Expenses Budget For the Month Ending October 31 Total sales Variable cost: Total variable cost Fixed cost: $500,000 $750,000 $1,000,000 88
Flexible Budget for Selling and Administrative Expenses for a Service Company Digital Solutions Inc. uses flexible budgets that are based on the following data: Sales commissions 8% of sales 15% of sales $10,000 per month plus 4% of sales $50,000 per month $20,000 per month plus 30% of sales $75,000 per month. Advertising expense Miscellaneous administrative expense Office salaries expense Customer support expenses Research and development expense Prepare a flexible selling and administrative expenses budget for October for sales volumes of $500,000, $750,000, and $1,000,000. (Use E Digital Solutions Inc. Flexible Selling and Administrative Expenses Budget For the Month Ending October 31 Total sales Variable cost: Total variable cost Fixed cost: $500,000 $750,000 $1,000,000 88
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Flexible Budget for Selling and Administrative Expenses for a Service Company
Digital Solutions Inc. uses flexible budgets that are based on the following data:
Sales commissions
8% of sales
15% of sales
$10,000 per month plus 4% of sales
$50,000 per month
$20,000 per month plus 30% of sales
$75,000 per month
Advertising expense
Miscellaneous administrative expense
Office salaries expense
Customer support expenses
Research and development expense
Prepare a flexible selling and administrative expenses budget for October for sales volumes of $500,000, $750,000, and $1,000,000. (Use E
Digital Solutions Inc.
Flexible Selling and Administrative Expenses Budget
For the Month Ending October 31
Total sales
Variable cost:
Total variable cost
Fixed cost:
$500,000 $750,000 $1,000,000
00000
SA
000
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