E 26

Sales Budget Summer Fun T-Shirt Shop has very seasonal. For 2014, management is trying to decide whether to establish a sales budget based on average sales or on sales estimated by quarter. The unit sales for 2014 are excepted to be 10 percentage higher than 2013 sales. Unit shirt sales by quarter. Children's T-shirts sell for $6 each, women's sell for $10, and men's sell for $11. Required Assuming a 10 percent increase in sales, prepare a sales budget for each quarter of 2014 using the following: Average quarterly sales Actual quarterly sales Suggest advantages of each method