Paper Manufacturing makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available: Sales commissions Shipping Advertising. Executive salaries Depreciation on office equipment Variable Cost Monthly Per Yute Sold Fixed Cost $2.10 $3.90 $7.40 $34,000 $198,000 $10,000 Other $0.60 $38,000 All of these expenses (except depreciation) are paid in cash in the month they are incurred. If the company has budgeted to sell 24,000 Yutes in November, then the total budgeted selling and administrative expenses for November would be: O a. $616,000.00 O b. $606,000.00 O c. $565,600.00 O d. $556,000.00

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Paper Manufacturing makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of
the year. The following budget data are available:
Sales commissions
Shipping
Advertising
Executive salaries
Depreciation on office equipment
Variable Cost Monthly
Per Yute Sold Fixed Cost
$2.10
$3.90
$7.40
$34,000
$198,000
$10,000
Other
$0.60
$38,000
All of these expenses (except depreciation) are paid in cash in the month they are incurred.
If the company has budgeted to sell 24,000 Yutes in November, then the total budgeted selling and administrative expenses for November would be:
a. $616,000.00
O b. $606,000.00
O c. $565,600.00
O d. $556,000.00
Transcribed Image Text:Paper Manufacturing makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available: Sales commissions Shipping Advertising Executive salaries Depreciation on office equipment Variable Cost Monthly Per Yute Sold Fixed Cost $2.10 $3.90 $7.40 $34,000 $198,000 $10,000 Other $0.60 $38,000 All of these expenses (except depreciation) are paid in cash in the month they are incurred. If the company has budgeted to sell 24,000 Yutes in November, then the total budgeted selling and administrative expenses for November would be: a. $616,000.00 O b. $606,000.00 O c. $565,600.00 O d. $556,000.00
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