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Problem 1: Swingers Company makes and sells widgets. The company is in the process of preparing its Selling and Administrative Expense Budget for the month. The following budget data are available: Variable Cost Per Unit Sold are Sales commissions $1, Shipping $3, Advertising $4, and Other expenses $2. Monthly Fixed Cost are Sales commissions $5,000, Executive salaries $60,000, Depreciation on office equipment $2,000, and Other expenses $3,000. Observation, Sales commissions and Other expenses has variable and fixed costs. Expenses are paid in the month incurred. If the company has budgeted to sell 40,000 widgets in October, how much is the total budgeted selling and administrative expenses for October?
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