Fazel Company makes and sells paper products. In the coming year, Fazel expects total sales of $19,730,000. There is a 3% commission on sales. In addition, fixed expenses of the sales and administrative offices include the following: Salaries $ 960,000 Utilities 365,000 Office space 230,000 Advertising 1,200,000 Required: Prepare a selling and administrative expenses budget for Fazel Company for the coming year. What is the answer for variable selling expenses? Total selling and administrative expenses?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Fazel Company makes and sells paper products. In the coming year, Fazel expects total sales of $19,730,000. There is a 3% commission on sales. In addition, fixed expenses of the sales and administrative offices include the following:

Salaries $ 960,000
Utilities 365,000
Office space 230,000
Advertising 1,200,000

Required:

Prepare a selling and administrative expenses budget for Fazel Company for the coming year.

What is the answer for variable selling expenses?

Total selling and administrative expenses?

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