Craig Manufacturing Company's budgeted income statement includes the following data:
The budget assumes that 60% of commission expenses are paid in the month they were incurred and the remaining 40% are paid one month later. In addition, 50% of salary expenses are paid in the month incurred and the remaining 50% are paid one month later. Miscellaneous expenses, rent expense and utility expenses are assumed to be paid in the same month in which they are incurred. Insurance was prepaid for the year on January 1.
Please provide a budget of cash payments for operating expenses using the following format:

Question

Craig Manufacturing Company's budgeted income statement includes the following data:
  The budget assumes that 60% of commission expenses are paid in the month they were incurred and the remaining 40% are paid one month later. In addition, 50% of salary expenses are paid in the month incurred and the remaining 50% are paid one month later. Miscellaneous expenses, rent expense and utility expenses are assumed to be paid in the same month in which they are incurred. Insurance was prepaid for the year on January 1.
Please provide a budget of cash payments for operating expenses using the following format:

Quizplus · Accepted Answer

The Answer of Craig Manufacturing Company's budgeted income statement includes the following data:
  The budget assumes that 60% of commission expenses are paid in the month they were incurred and the remaining 40% are paid one month later. In addition, 50% of salary expenses are paid in the month incurred and the remaining 50% are paid one month later. Miscellaneous expenses, rent expense and utility expenses are assumed to be paid in the same month in which they are incurred. Insurance was prepaid for the year on January 1.
Please provide a budget of cash payments for operating expenses using the following format:

Craig Manufacturing Company's Budgeted Income Statement Includes the Following Data