Fallon Company uses flexible budgets to control its selling expenses. Monthly sales are expected to range from $174,300 to $212,400. 

Variable costs and their percentage relationship to sales are sales commissions 6%, advertising 7%, traveling 5%, and delivery 2%. Fixed selling expenses will consist of sales salaries $33,724, depreciation on delivery equipment $6,930, and insurance on delivery equipment $1,905.

Prepare a monthly flexible budget for each $12,700 increment of sales within the relevant range for the year ending December 31, 2017. (List variable costs before fixed costs.)

 

Transcribed Image Text:

FALLON COMPANY Monthly Selling Expense Flexible Budget For the Year 2017 %24 FALLON COMPANY Monthly Selling Expense Flexible Budget For the Year 2017 %24

Answer rating: 100% (QA)

Fallon company Monthly selling expense Flexible Budget ... View the full answer