Fillmore, Inc., expects sales of its housing for electric motors to be $82,000, $72,000, and $89,000 for January, February, and March, respectively. Its variable selling and administrative expenses are 11 percent of sales, and fixed selling and administrative expenses are $14,000 per month. Compute Fillmore's selling and administrative expense budget for January, February, and March. Budgeted selling and administrative expenses January February March
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
![Fillmore, Inc., expects sales of its housing for electric motors to be $82,000, $72,000, and $89,000 for January, February, and March, respectively. Its variable selling and administrative expenses are 11 percent of sales, and fixed selling and administrative expenses are $14,000 per month.
Compute Fillmore’s selling and administrative expense budget for January, February, and March.
### Budget Table
| | January | February | March |
|----------------------------------|---------|----------|-------|
| Budgeted selling and administrative expenses | | | |
The table above includes columns for each month, with calculated budget values to be filled in for the selling and administrative expenses. The expenses will combine both variable and fixed costs for each period.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F844fb79c-8c8d-4b0b-a54b-24c2875f4bd3%2Fcdf2ca75-f091-40a3-9e08-859bf839c41c%2F2ali9s_processed.jpeg&w=3840&q=75)
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