Donnie Company Has the Following Information Budgeted Operating Expenses Per Month

question 77

Multiple Choice

Donnie Company has the following information:
$\begin{array}{ll}\text { Month }&\text { Budgeted Sales }\\\text { January } & \$ 80,000 \\\text { February } & 85,000 \\\text { March } & 92,000 \\\text { April } & 79,000\end{array}$
Budgeted Operating Expenses Per Month
$\begin{array}{ll}\text { Wages } & \$ 15,000 \\\text { Advertising } & 12,000 \\\text { Depreciation } & 3,000 \\\text { Other expenses } & 4 \% \text { of sales }\end{array}$
All cash expenses are paid as incurred.What are the total operating expenses budgeted for the month of January?

• A) $30,000
• B) $30,040
• C) $31,200
• D) $33,200

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Definitions:

Ethical Dilemma

A situation where a difficult choice has to be made between two or more conflicting moral principles.

Judgments

Assessments or opinions formed about something, not necessarily based on fact or knowledge.

Indisputable Facts

Information or statements that are accepted as true and cannot be argued against or disputed.

Ethical Thinking

The process of considering actions and decisions in terms of moral values and principles.