Selling and Administrative Expenses Budget

Fazel Company makes and sells paper products. In the coming year, Fazel expects total sales of $19,730,000. There is a 3% 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

Required:

Prepare a selling and administrative expenses budget for Fazel Company for the coming year.

Fazel CompanySelling and Administrative Expenses Budget For the Coming Year

Variable selling expenses$

Fixed expenses:Salaries$

Utilities =

Office space=

Advertising =

Total fixed expensesf =

Total selling and administrative expenses$