Fael Company makes and sells paper products. In the coming year, Fael expects total sales of $19,730,000. There is a 3 percent 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
Prepare a selling and administrative expenses budget for Fael Company for the coming year.