For June, Wynn Manufacturing estimated sales revenue at $200,000. It pays sales commissions that are 4% of sales. The sales manager's salary is $95,000, estimated shipping expenses total 1% of sales, and miscellaneous selling expenses are $5,000. How much are budgeted selling expenses for the month of July if sales are expected to be $180,000?

Question

Quizplus · Accepted Answer

Budgeted selling expenses for July include sales commissions (4% of $180,000 = $7,200), sales manager's salary ($95,000), shipping expenses (1% of $180,000 = $1,800), and miscellaneous selling expenses ($5,000). Total = $7,200 + $95,000 + $1,800 + $5,000 = $109,000.

For June, Wynn Manufacturing Estimated Sales Revenue at $200,000