Zilly Co. predicts sales of $176,000 for June. Zilly pays a sales manager a monthly salary of $6,900 and a commission of 7% of that month’s sales dollars. Prepare a selling expense budget for the month of June.

Preparation of selling expenses is below

Explanation:

The preparation of selling expense budget for the month of June is shown below:-

                                      Zilly Co.

                                        June

Sales budgeted $176,000

Commission of sales in percentage  7%

Sales Commission                                          $12,320

Add: Monthly salary of sales manager          $6,900

June Selling expenses                                   $19,220

Note :- For computing the Monthly salary of sales manager we multiply Sales budgeted with commission of sales in percentage.

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