Question

ceuget Giant gathered the following information for the first quarter of 2015: Budgeted sales for January Problem 1 (10 points) $25,000 Monthly Expenses: Salary expense $1,500 Rent expense $1,000 Depreciation expense $400 Sales commissions 10% of sales Advertising expense 8% of sales Miscellaneous expense 5% of sales Monthly sales are expected to increase 5% each month. Prepare an operating expense budget for the first quarter of 2015. Gadget Giant Operating Expense Budget For Three Months Ended March 31, 20015 January February March

Answer 1

	January	February	March
Sales	25000	26250.00	27562.5
Monthly Expenses
Salary Expense	1500	1500	1500
Rent expense	1000	1000	1000
Depreciation expense	400	400	400
Sales Comission	2500	2625	2756
Advertising expense	2000	2100	2205
Miscleeaneous expense	1250	1312.5	1378
Total Monthly expenses	8650	8937.5	9239