$6$

Exercise $8-6($Algo$)$ Selling and Administrative Expense Budget $[$LO$8-7]$

$1\mathrm{.}87$ points

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Hint

Ask

References

Weller Company's budgeted unit sales for next year are provided below:

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|$c$|$c$|\}$

$\backslash$hline & $1$st Quarter & $2$nd Quarter & $3$rd Quarter & $4$ t & Q $22$ Quarter $\backslash \backslash$

$\backslash$hline Budgeted unit sales & $24,000$ & $25,000$ & $21,000$ & & $22,000\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$

The company's variable selling and administrative expense per unit is $\backslash (\backslash$$ $2\mathrm{.}30\backslash ).$ Fixed selling and administrative expenses include advertising expenses of $\backslash (\backslash$$ $9,000\backslash )$ per quarter, executive salaries of $\backslash (\backslash$$ $44,000\backslash )$ per quarter, and depreciation of $\backslash (\backslash$$ $23,000\backslash )$ per quarter. In addition, the company will make insurance payments of $\backslash (\backslash$$ $4,000\backslash )$ in the first quarter and $\backslash (\backslash$$ $4,000\backslash )$ in the third quarter. Finally, property taxes of $\backslash (\backslash$$ $8,600\backslash )$ will be paid in the second quarter.

Required:

Prepare the company's selling and administrative expense budget for next year.

Note: Round "Per Unit" answers to $2$ decimal places.

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|$c$|$c$|\}$

$\backslash$hline $\backslash$multicolumn$\{6\}\{|$c$|\}\{$Weller Company$\}\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{6\}\{|$c$|\}\{$Selling and Administrative Expense Budget$\}\backslash \backslash$

$\backslash$hline & $1$st Quarter & $2$nd Quarter & $3$rd Quarter & $4$th Quarter & Year $\backslash \backslash$

$\backslash$hline $>$ & & & & & $\backslash \backslash$

$\backslash$hline Variable selling and administrative expense per unit & & & & & $\backslash \backslash$

$\backslash$hline Variable selling and administrative expense & & & & & $\backslash \backslash$

$\backslash$hline Fixed selling and administrative expenses: & & & & & $\backslash \backslash$

$\backslash$hline P & & & & & $\backslash \backslash$

$\backslash$hline & & & & & $\backslash \backslash$

$\backslash$hline $>$ & & & & & $\backslash \backslash$

$\backslash$hline $>$ & & & & & $\backslash \backslash$

$\backslash$hline & & & & & $\backslash \backslash$

$\backslash$hline Total fixed selling and administrative expenses & & & & & $\backslash \backslash$

$\backslash$hline Total selling and administrative expenses & & & & & $\backslash \backslash$

$\backslash$hline & & & & & $\backslash \backslash$

$\backslash$hline Cash disbursements for selling and administrative expenses & & & & & $\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$