Question

with explian pleas. ?

i am trying to slove it .. i didn't know is it right or no

Total budge 22-19 Copyright © 2014 Pearson Education, Inc.publishing as Prentice Hall Smart Touch Learning's Projected Selling and Administrative Costs for 2017 Salaries Expense, fixed $ 30,000 per quarter Rent Expense, fixed 25,000 per quarter Insurance Expense, fixed 2,500 per quarter Depreciation Expense, fixed 1,500 per quarter Supplies Expense, variable 1% of Sales Revenue 22-20 pyright © 2014 Pearson ucation, Inc.publishing as ntice Hall

Answer 1

Calculation of Supplies expense:

Sales revenues for each quarter is $59,000

Supplies expense = Sales revenue for each quarter x 1%

Quarter	Sales revenue	Supplies expense
First	59,000	590
Second	59,000	590
Third	59,000	590
Fourth	59,000	590

Selling and Administrative expense Budget:

SMART TOUCH LEARNING
Selling and Administrative Expense Budget
For the Year Ended December 31,2017
	First Quarter	Second Quarter	Third Quarter	Fourth Quarter	Total
Salaries expense	30,000	30,000	30,000	30,000	120,000
Rent expense	25,000	25,000	25,000	25,000	100,000
Insurance expense	2,500	2,500	2,500	2,500	10,000
Depreciation expense	1,500	1,500	1,500	1,500	6,000
Supplies expense	590	590	590	590	2,360
Total budgeted S&A expense	59,590	59,590	59,590	59,590	238,360

Explanation:

Salaries expense, Rent expense, Insurance expense and Depreciation expenses are fixed and given.

Supplies expense is Variable and computed above.