Variable costs and their percentage relationship to sales are sales commissions 6%, advertising 4%, travel 3%, and delivery 2%. Fixed selling expenses will consis

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Chapter8: Budgets And Bank Reconciliations
Section: Chapter Questions
Problem 1.4C
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The actual selling expenses incurred in March 2022 by Flint Company are as follows.

               
Variable Expenses
        Fixed Expenses    
Sales commissions   $12,980     Sales salaries   $41,300
Advertising   8,142     Depreciation   8,260
Travel   6,018     Insurance   1,180
Delivery   4,071          


Variable costs and their percentage relationship to sales are sales commissions 6%, advertising 4%, travel 3%, and delivery 2%. Fixed selling expenses will consist of sales salaries $41,300, Depreciation on delivery equipment $8,260, and insurance on delivery equipment $1,180.

(a) Prepare a flexible budget performance report for March, assuming that March sales were $200,600.

(b) Prepare a flexible budget performance report, assuming that March sales were $212,400

FLINT COMPANY
Selling Expense Flexible Budget Report
For the Month Ended March 31, 2022
Ui
Neitl
Budget
Actual
nor
Sales
200600
200600
24
24
>
>
>
>
>
>
Transcribed Image Text:FLINT COMPANY Selling Expense Flexible Budget Report For the Month Ended March 31, 2022 Ui Neitl Budget Actual nor Sales 200600 200600 24 24 > > > > > >
(b) Prepare a flexible budget performance report, assuming that March sales were $212,400. (List variable costs before fixed costs.)
FLINT COMPANY
Selling Expense Flexible Budget Report
Ui
Neiti
Budget
Actual
nor
24
>
Transcribed Image Text:(b) Prepare a flexible budget performance report, assuming that March sales were $212,400. (List variable costs before fixed costs.) FLINT COMPANY Selling Expense Flexible Budget Report Ui Neiti Budget Actual nor 24 >
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