Agent Blaze uses flexible budgets that are based on the following data:

Sales commissions	5% of sales
Advertising expense	19% of sales
Miscellaneous selling expense	$2,500 plus 3% of sales
Office salaries expense	$17,000 per month
Office supplies expense	4% of sales
Miscellaneous administrative expense	$1,750 per month plus 2% of sales

Hide

Prepare a flexible selling and administrative expenses budget for January 2014, for sales volumes of $110,000, $140,000, and $165,000. (Use Exhibit 5 as a model.) Enter all amounts as positive numbers.

Agent Blaze
Flexible Selling and Administrative Expenses Budget
For the Month Ending January 31, 2014
Total sales		$110,000		$140,000		$165,000
Variable cost:
Sales commissions		$		$		$
Advertising expense
Miscellaneous selling expense
Office supplies expense
Miscellaneous administrative expense
Total variable cost		$		$		$
Fixed cost:
Miscellaneous selling expense		$		$		$
Office salaries expense
Miscellaneous administrative expense
Total fixed cost		$		$		$
Total selling and administrative expenses		$		$		$