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Exercise 22-5 Dewitt Company e xible budgets to control sales commissions , advertising 4% traveling delivery...

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Exercise 22-5 Dewitt Company e xible budgets to control sales commissions , advertising 4% traveling delivery equipment $1,39
Exercise 22-5 Dewitt Company e xible budgets to control sales commissions , advertising 4% traveling delivery equipment $1,397 ling expenses Mont r e expected to range from 5172.400 to $210.500 Variable costs and the percentage r o ho to sales are and delivery 16 we selling expenses will consist of sales salaries $34,812, depreciation on delivery ou t $5.723, and insurance on Prepare a monthly flexible budget for each $12,700 increment of sales within the relevant range for the year ending December 31, 2014. (List variable costs before feed costs) DEWITT COMPANY Menthly Selling Expense Flexible Budget For the Year 2014 you wo te Show work for the western

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Dewitt Company

Monthly Selling Expense Flexible Budget
$ $ $ $
Monthly sales $     172,400 $     185,100 $     197,800 $     210,500
Variable costs
Sales Commisions @ 7% $       12,068 $       12,957 $       13,846 $       14,735
Advertising @ 4% $         6,896 $         7,404 $         7,912 $         8,420
Travelling @ 4% $         6,896 $         7,404 $         7,912 $         8,420
Delivery @ 1% $         1,724 $         1,851 $         1,978 $         2,105
Total variable selling costs $       27,584 $       29,616 $       31,648 $       33,680
Fixed selling costs
Sales salaries $       34,812 $       34,812 $       34,812 $       34,812
Depreciation on equipment $         6,723 $         6,723 $         6,723 $         6,723
Insurance on equipment $         1,397 $         1,397 $         1,397 $         1,397
Total fixed selling costs $       42,932 $       42,932 $       42,932 $       42,932
Total selling costs $       70,516 $       72,548 $       74,580 $       76,612
.

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