Question

the following budget information is available for the arch company for january 202x: sales cost of goods sold factory utilities expense administrative salaries 860 540 3 100 sales commissions 5% of sales advertising depreciation on factory equipment rent on administration building 20 30 60all operating expenses are paid in cash in the month incurred. the budgeted selling and administrative expenses that will be included on the cash budget for january 202x is closest to:

Answer 1

The budgeted selling and administrative expenses that will be included on the cash budget for January 202x is $3,203.

Step-by-step explanation:

The budgeted selling and administrative expenses that will be included on the cash budget for January 202x can be calculated by adding the administrative salaries, sales commissions, and advertising expenses.

Administrative salaries = $3,100

Sales commissions (5% of sales) = 0.05 * $860 = $43

Advertising = $60

Total budgeted selling and administrative expenses = $3,100 + $43 + $60 = $3,203