The Following Budget Information Is Available for the Arch Company

The following budget information is available for the Arch Company for January 2014: $$\begin{array} { | l | r | } \hline \text { Sales } & \$ 860,000 \\\hline \text { Cost of goods sold } & 540,000 \\\hline \text { Freight out } & 2,800 \\\hline \text { Administrative salaries } & 100,000 \\\hline \text { Sales commissions } & 5 \% \text { of sales } \\\hline \text { Advertising } & 20,000 \\\hline \text { Depreciation on store equipment } & 50,000 \\\hline \text { Rent on administration building } & 60,000 \\\hline \text { Miscellaneous administrative expenses } & 10,000 \\\hline\end{array}$$ All operating expenses are paid in cash in the month incurred. Compute total budgeted selling and administrative expenses (excluding interest) amount for January 2014.

A) $262,500
B) $283,000
C) $240,000
D) $285,800