The following budget information is available for Crescent Company for January Year 2: Sales $ 800,000 Cost of goods sold 540,000 Utilities expense 2,500 Administrative salaries 100,000 Sales commissions 5 % of Sales Advertising 20,000 Depreciation on store equipment 50,000 Rent on administration building 60,000 Miscellaneous administrative expenses 10,000 Percentage of sales on credit 80 % All operating expenses are paid in cash in the month incurred. The amount of expected cash outflow for selling and administrative expenses would be: Multiple Choice $312,500. $262,500.

$232,500

Explanation:

The computation of the amount of expected cash outflows for selling and admin expenses is shown below:

Utilities expense  $2,500

Administrative salaries$100,000

Sales commission ($800,000 ×  5%)$40,000

Advertising$20,000

Rent on administrative building$60,000

Miscellaneous administrative expenses$10,000

Total budgeted cash sales and administrative expenses$232,500

We added those expenses which affect the cash balance i.e decrease in cash balance so that the correct amount could arrive

All other items are not relevant. hence,ignored it

trade allows people to focus on one kind of production and trade for their other needs. ( d.)

answer/// randomly assign the participants to the   conditions