Question

The company’s variable selling and administrative expense per unit is $3.30. Fixed selling and administrative expenses include advertising expenses of $11,000 per quarter, executive salaries of $53,000 per quarter, and depreciation of $33,000 per quarter. In addition, the company will make insurance payments of $4,000 in the first quarter and $4,000 in the third quarter. Finally, property taxes of $7,200 will be paid in the second quarter.

  
Required:

Prepare the company’s selling and administrative expense budget for the upcoming fiscal year. (Input all amounts as positive values. Round "Variable cost" answers to 2 decimal places.)

The budgeted unit sales of Wller Company for the upcoming fiscal year are provided below: 1st Quarter 2nd Quartor 3rd Quarter 36,000 4th Quarter 32,000 Budgated unit sales 34,000 27,000 The company's variable selling and adminiatrative expense per unit is $3.30. Foxed selling and administrative expenses include advertising expenses of $11,000 per quarter, executive salaries of S53,000 per quarter, and depreciation of $33,000 per quarter. In addition, the company will make insurance payments of $4,000 in the first quarter and $4,000 in the third quarter. Finally, properly taxes of $7,200 will be paid in the second quarter Required: Prepare the company's selling and administrative expense budget for the upcoming fiscal year. (Input amounts as positive values. Round "Variable cost" answers to 2 decimal places.) Weller Company Selling and Administrative Expense Budget 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Fixed selling and administralive expenses: Total fixed selling and administretve expenses Total selling and administrative cxpenses Cash disbursements for selling and administrative expenses

Answer 1

Weller Company Selling and Administrative expense budget 3rd quarter 1st quarter 2nd quarter 4th quarter Year Budgeted unit sales Variable selling and admin expense per unit Variable selling and admin expense Fixed selling and admin expense 34000 36000 27000 32000 129000 $3.30 $112,200.00 $3.30 $118,800.00 $3.30 $89,100.00 $3.30 $105,600.00 $3.30 $425,700.00 11,000.00 $ $ 53,000.00 $ 53,000.00 $ 11,000.00 $ 44,000.00 $ 53,000.00 212,000.00 $ $ $ 11,000.00 $ $53,000.00 $ Advertising Executive salaries 11,000.00 $ 4,000.00 $ $ $ 8,000.00 $ 4,000.00 Insurance property taxes Depreciation Total fixed selling and admin expense Total selling and admin Expense Less Depreciation Cash disbursements for selling and admin expense $ 7,200.00 $ 7,200.00 $ 33,000.00 $ 33,000.00 $ 33,000.00 $33,000.00 $132,000.00 $101,000.00 $104,200.00 $101,000.00 97,000.00 $403,200.00 $213,200.00 $223,000.00 $190,100.00 $202,600.00 $828,900.00 $ (33,000.00) (33,000.00) $ (33,000.00) $ (33,000.00) $ (132,000.00) $180,200.00 $190,000.00 $157,100.00 $169,600.00 $696,900.00