Question

Crede Company budgeted selling expenses of $30,300 in January, $34,500 in February, and $40,300 in March. Actual selling expenses were $31,300 in January, $34,190 in February, and $48,300 in March. The company considers any difference that is less than 5% of the budgeted amount to be immaterial. Prepare a selling expense report that compares budgeted and actual amounts by month and for the year to date.

Answer 1

Crede Company Selling expense report

By Month

Month Budget Actual expenses Difference

January $30,300 $ 31,300 $1,000 U

February $34,500 $ 34,190 $310 F

March $40,300 $ 48,300 $8,000 U

Year to date

Budget Actual expenses Difference

$30,300 $31,300 $1,000 U

$64,800 $65,490 $690 U

$ 105,100 $113,790 $8,690 U