Question

he budgeted unit sales of ToneV Company for the upcoming fiscal year are provided below: 1St Quarter 2nd Quarter 3rd Quarter 4th Quarter Budgeted Unit Sale 22,000 21,000 24,000 23,000 The company’s variable selling and administrative expenses per unit are $1.80. Fixed selling and administrative expenses include advertising expenses of $18,000 per quarter, executive salaries of $47,000 per quarter, and depreciation of $14,000 per quarter. In addition, the company will make insurance payments of $8,000 in the 2nd quarter and $8,000 in the 4th quarter. Finally, property taxes of $4,200 will be paid in the 3rd quarter. What is the total cash disbursement for selling and administrative expenses for the year? a - $104,600 b - $110,800 c - $442,200 d - $112,400

Answer 1

	quarter 1	quarter 2	quarter 3	quarter 4	total
unit sales	22,000	21,000	24,000	23,000
selling and adminstration expenses
variable	$        39,600	$        37,800	$        43,200	$        41,400	$        162,000
fixed:
advertising expenses	$        18,000	$        18,000	$        18,000	$        18,000	$          72,000
executive salaries	$        47,000	$        47,000	$        47,000	$        47,000	$        188,000
insurance payments	$                 -	$          8,000	$                 -	$          8,000	$          16,000
property taxes	$                 -	$                 -	$          4,200	$                 -	$            4,200
total					$        442,200

ANSWER : C .$442,200.