You are required to construct a selling-overhead budget from the following details:

Establishment expenses of the sales department

30,000.

Other expenses of the sales department

12,000.

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9,000.

Salaries to counter-salesmen

30,000.

Commission to counter-salesmen at 2% on their sales.

commission to travelling salesmen at 5% on their sales and out-of-pocket expenses at 3% on their sales.

The following are the likely sales range for a year.

Sales as counter

Sales by travelling salesmen

Rs. 3,00,000

Rs. 30,000

Rs. 4,00,000

Rs. 40,000

Rs. 5,00,000

Rs. 50,000