Weller Company's budgeted unit sales for the upcoming fiscal year are provided below: 1st Quarter 24,000 2nd Quarter 25,000 3rd Quarter 4th Quarter 21,000 22,000 Budgeted unit sales The company's variable selling and administrative expense per unit is $2.30. Fixed selling and administrative expenses include advertising expenses of $9,000 per quarter, executive salaries of $44,000 per quarter, and depreciation of $23,000 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 $8,600 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.)
Weller Company's budgeted unit sales for the upcoming fiscal year are provided below: 1st Quarter 24,000 2nd Quarter 25,000 3rd Quarter 4th Quarter 21,000 22,000 Budgeted unit sales The company's variable selling and administrative expense per unit is $2.30. Fixed selling and administrative expenses include advertising expenses of $9,000 per quarter, executive salaries of $44,000 per quarter, and depreciation of $23,000 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 $8,600 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.)
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter8: Budgeting For Planning And Control
Section: Chapter Questions
Problem 11CE: Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted...
Related questions
Concept explainers
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.
Question
Hi,
I need help solving for the remaining cells (highlighted in red).
Thank you.
Transcribed Image Text:Weller Company's budgeted unit sales for the upcoming fiscal year are provided below:
1st Quarter
24,000
2nd Quarter
25,000
3rd Quarter
21,000
4th Quarter
22,000
Budgeted unit sales
The company's variable selling and administrative expense per unit is $2.30. Fixed selling and administrative expenses include
advertising expenses of $9,000 per quarter, executive salaries of $44,000 per quarter, and depreciation of $23,000 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 $8,600 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.)
Budgeted unit sales
Variable selling and administrative expense per unit
Variable selling and administrative expense
Fixed selling and administrative expenses:
Advertising
Depreciation
Executive salaries
Insurance
X Answer is complete but not entirely correct.
Weller Company
Selling and Administrative Expense Budget
1st
2nd
Quarter
25,000✔
Quarter
24,000✔
Property taxes
Total fixed selling and administrative expenses
Total selling and administrative expenses
Less: Depreciation
Cash disbursements for selling and administrative expenses
♥
✓
✓
✓
✓
3
3*3
X
$55,200 $ 57,500✔ $
››› ››****
9,000✔
23,000✔
44,000✔
4,000✔
0✓
****<3333
9,000
23,000✔
44,000
0✔
8,600✔
3rd
Quarter
21,000✔
48,300 $
****0003
9,000✔
23,000✔
44,000✔
4,000✔
0✔
4th
Quarter
22,000✔
*********
X
50,600 $ $ 211,600
9,000✔
23,000✔
44,000✔
0✔
Year
0✔
92,000✔
X
*********
36,000✔
92,000✔
176,000✔
8,000✔
8,600✔
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,