Beltway Company is preparing their sales and selling expense budgets for the next quarter (October, November, December). Beltway produces and sells one product. The budgeted sales price for this product is $55 per unit. The company expects to sell 16,000 units in October. They are budgeting a 3% increase in unit sales each month after October.
Prepare the sales budget for the quarter (in units and dollars). Round all answers to the nearest whole unit and whole dollar.
| Beltway Company Sales Budget For October, November, and December | ||||
|---|---|---|---|---|
| Budgeted Unit Sales | Budgeted Unit Price | Budgeted Sales in Dollars | ||
| October | $ | $ | ||
| November | $ | $ | ||
| DecemberSingle line | Single line | $Single line | $Single line | |
| Single lineTotalDouble line | Single lineDouble line | Single line$Double line | ||
Beltway Company will now use the Sales budget above to budget the selling expenses for the quarter (October, November, December). Beltway pays a 5% commission to its sales staff on every dollar sold. The commission is paid in the same month as the sale. They also have a sales supervisor who earns and annual salary of $81,000. The company estimates payroll tax expenses for the sales people to be 7.65% of the commissions paid to the sales staff and the supervisor's salary combined. The final selling expense to be budgeted is $1,200 per month for an advertising campaign they are running on the local radio and television stations.
Prepare the selling expense budget for the quarter. Round all answers to the nearest whole dollar.
| October | November | December | Total | |
|---|---|---|---|---|
| Sales commission | $ | $ | $ | $ |
| Sales Supervisor's salary | $ | $ | $ | $ |
| Payroll taxes for sales people | $ | $ | $ | $ |
| Advertising ExpenseSingle line | $Single line | $Single line | $Single line | $Single line |
| Single lineTotal Selling ExpensesDouble line | Single line$Double line | Single line$Double line | Single line$Double line | Single line$Double line |