Bear Corp.sells its product for $120.Forecasted sales are 1,200 units in October,1,500 in November,and 1,600 in December.Variable costs are based on sales,and consist of commissions (7% of sales),advertising (3%)and shipping (5%).Fixed costs per month are $4,000 sales salaries,$3,300 office salaries,$2,000 depreciation,$1,800 office rent,$750 insurance and $900 utilities.
Required:
Prepare Bear Corp's selling and administrative expense budget for the period October through December.Present monthly totals as well as a 3-month total.

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The Answer of Bear Corp.sells its product for $120.Forecasted sales are 1,200 units in October,1,500 in November,and 1,600 in December.Variable costs are based on sales,and consist of commissions (7% of sales),advertising (3%)and shipping (5%).Fixed costs per month are $4,000 sales salaries,$3,300 office salaries,$2,000 depreciation,$1,800 office rent,$750 insurance and $900 utilities.
Required:
Prepare Bear Corp's selling and administrative expense budget for the period October through December.Present monthly totals as well as a 3-month total.

Bear CorpSells Its Product for $120