Below is budgeted production and sales information for Flushing Company for the month of December. The unit selling price for product XXX is $5 and for product ZZZ is $15.
-For March, sales revenue is $1,000,000, sales commissions are 5% of sales, the sales manager's salary is $80,000, advertising expenses are $65,000, shipping expenses total 1% of sales, and miscellaneous selling expenses are $2,100 plus 1% of sales. Total selling expenses for the month of March are
A)$217,100
B)$205,000
C)$207,100
D)$142,100

Question

Below is budgeted production and sales information for Flushing Company for the month of December.  The unit selling price for product XXX is $5 and for product ZZZ is $15.​
-For March, sales revenue is $1,000,000, sales commissions are 5% of sales, the sales manager's salary is $80,000, advertising expenses are $65,000, shipping expenses total 1% of sales, and miscellaneous selling expenses are $2,100 plus 1% of sales. Total selling expenses for the month of March are
A)$217,100 
B)$205,000 
C)$207,100 
D)$142,100

Quizplus · Accepted Answer

Sales commissions: $1,000,000 x 5% = $50,000Shipping expenses: $1,000,000 x 1% = $10,000Miscellaneous selling expenses: $2,100 + $1,000,000 x 1% = $12,100Total selling expenses: $50,000 + $80,000 + $65,000 + $10,000 + $12,100 = $217,100

Below Is Budgeted Production and Sales Information for Flushing Company