Weller Company\'s budgeted unit sales for the upcoming fiscal year are provided

Question

Weller Company's budgeted unit sales for the upcoming fiscal year are provided below: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Budgeted unit sales 17,000 20,000 16,000 15,000 The company's variable selling and administrative expense per unit is $1.60. Fixed selling and administrative expenses include advertising expenses of $10,000 per quarter, executive salaries of $35,000 per quarter, and depreciation of $16,000 per quarter. In addition, the company will make insurance payments of $5,000 in the first quarter and $5,000 in the third quarter. Finally, property taxes of $7,000 will be paid in the second quarter. Required: Prepare the company's selling and administrative expense budget for the upcoming fiscal year. (Round "Per Unit" answers to 2 decimal places.)

Explanation / Answer

Answer:-

Weller Company Selling & Administrative Expense Budget Particluars 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Budgeted unit sales (a) 17000 20000 16000 15000 Variable selling and administrative expense per unit (b) $1.60 $1.60 $1.60 $1.60 Total Variable selling and administrative expense per (c=a*b) 27200 32000 25600 24000 Fixed selling and administrative expense Advertising expense $ 10000 10000 10000 10000 Executive Salarie $ 35000 35000 35000 35000 Depreciation $ 16000 16000 16000 16000 Insurance payments $ 5000 5000 Property taxes $ 7000 Total Fixed selling and administrative expense (d) $ 66000 68000 66000 61000 Total selling and administrative expense (e=c+d) $ 93200 100000 91600 85000 Less:- Depreciation Expense $ 16000 16000 16000 16000 Cash disbursements for selling and administrative expense $ 77200 84000 75600 69000

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.