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Budgeted sales are expected to be: January 200 Units February 300 Units March 400 Units April 300 Units May 400 Units Selling Price $10 Per unit A. Prepare the sales Budget (5 points) Sales Budget January February March Quarter Budgeted sales in units 200 300 400 900 Times selling price per unit $10 $10 $10 $10 Budgeted sells in dollars $2,000 $3,000 $4,000 $9,000 B. Prepare the Production Budget (5 points)

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Zviko

Answer:

Sales Budget for January, February, March and April

                                             January         February          March          April

Budgeted Sales Units             200                 300               400             300

Selling Price                             $10                  $10                $10              $10

Budgeted Sales                   $2,000            $3,000         $4,000        $9,000

Production Budget for January, February, March and April

                                             January         February          March          April

Budgeted Sales Units             200                 300               400             300

Budgeted Production Units    200                 300               400             300

Explanation:

Sales Budget shows a forecast of the future sales revenues expected by the Company.It is the first budget to be prepared from which all other companies budget are created.

Sales Budget for January, February, March and April

                                             January         February          March          April

Budgeted Sales Units             200                 300               400             300

Selling Price                             $10                  $10                $10              $10

Budgeted Sales                   $2,000            $3,000         $4,000        $9,000

Production Budget for January, February, March and April

Hint : Since there are no targets for beginning or closing inventories, then Sales are equal to production.

                                             January         February          March          April

Budgeted Sales Units             200                 300               400             300

Budgeted Production Units    200                 300               400             300

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