Porter Corporation makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available:
All of these expenses (except depreciation) are paid in cash in the month they are incurred.
-If the company has budgeted to sell 14,000 Yutes in November,then the total budgeted selling and administrative expenses for November would be:

Question

Porter Corporation makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available:
  All of these expenses (except depreciation) are paid in cash in the month they are incurred.
-If the company has budgeted to sell 14,000 Yutes in November,then the total budgeted selling and administrative expenses for November would be:

Quizplus · Accepted Answer

11ea7761_17c7_1f08_81a5_4f77d1744f9a_TB2580_00 Total selling and administrative expenses = Fixed selling and administrative expenses + (Variable selling and administrative expenses per unit × Units sold)
= $237,000 + ($20.70 per unit × 14,000 units)
= $237,000 + $289,800
= $526,800

Porter Corporation Makes and Sells a Single Product Called a Yute