Question: The budgeted unit sales of O'Brien Vineyards for the upcoming fiscal year;
July: 24,000 August: 28,000 September: 22,000 October: 20,000
The company's variable selling and administrative expenses per unit are $3.75. Fixed selling and administrative expenses included advertising expense of $8,000 per month, executive salaries of $40,000 per month, and depreciation of $12,000 per month. In addition, O'Brien Vineyards will make insurance payments of $4,000 in August and October. Property taxes of $3,000 will be paid in the September and October.
Prepare the Selling and Administrative Budget:
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July
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August
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September
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Budget Sales
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24000
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28000
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22000
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Variable S&A Rate
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Variable Expenses
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Fixed Expenses
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Total S&A Expenses
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Less: (Non-Cash)
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Cash S&A Expenses
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