(Solved) A manufacturing company's budgeted income statement includes the following data:Data extracted from ...

A manufacturing company's budgeted income statement includes the following data:

Data extracted from budgeted income statement   Mar   Apr   May   Jun
Sales revenue   $130,000   $80,000   $130,000   $120,000
Commission expense (15% of sales)   19,500   12,000   19,500   18,000
Salaries expense   33,000   33,000   33,000   33,000
Miscellaneous expense - 5% of sales   6,500   4,000   6,500   6,000
Rent expense   3,600   3,600   3,600   3,600
Utilities expense   2,300   2,300   2,300   2,300
Insurance expense   2,600   2,600   2,600   2,600
Depreciation expense   4,200   4,200   4,200   4,200

The budget assumes that 60% of commission expenses are paid in the month they are incurred and the remaining 40% are paid one month later. In addition, 50% of salaries expenses are paid in the same month, and the remaining 50% are paid one month later. Miscellaneous expenses, rent expense, and utilities expenses are assumed to be paid in the same month in which they are incurred. Insurance has been paid in advance for the year on January 1.
Calculate total budgeted cash payments for selling and administrative expenses for the month of April.
A) $52,000
B) $64,700
C) $57,900
D) $60,500

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A manufacturing company's budgeted income statement includes the following data:Data extracted from ...

Horngren's Financial & Managerial Accounting, The Financial Chapters

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