Question

Prepare a flexible selling and administrative expenses budget for July for sales volumes of $600,000, $800,000, and $1,000,000.

Answer 1

To prepare a flexible selling and administrative expenses budget for July, you need to determine the expected expenses based on different sales volumes and create a budget table with the values.

Step-by-step explanation:

To prepare a flexible selling and administrative expenses budget for July, we need to determine the expected expenses based on different sales volumes. The budget will show the projected expenses at sales volumes of $600,000, $800,000, and $1,000,000.

For example, if the selling and administrative expenses for a sales volume of $600,000 are $5,500, for a sales volume of $800,000 are $6,300, and for a sales volume of $1,000,000 are $7,200, we can create a budget table with these values:

• $600,000: $5,500
• $800,000: $6,300
• $1,000,000: $7,200