Forecast Sales Volume and Sales Budget

For 20Y6, Raphael Frame Company prepared the sales budget that follows.

At the end of December 20Y6, the following unit sales data were reported for the year:

	Unit Sales
	8" 10" Frame		12" 16" Frame
East	29,664		14,144
Central	7,272		3,822
West	6,402		2,958

Raphael Frame Company Sales Budget For the Year Ending December 31, 20Y6
Product and Area		Unit Sales Volume		Unit Selling Price		Total Sales
8" 10" Frame:
East		28,800		$20		$576,000
Central		7,200		20		144,000
West		6,600		20		132,000
Total		42,600				$852,000
12" 16" Frame:
East		13,600		$35		$476,000
Central		3,900		35		136,500
West		2,900		35		101,500
Total		20,400				$714,000
Total revenue from sales						$1,566,000

For the year ending December 31, 20Y7, unit sales are expected to follow the patterns established during the year ending December 31, 20Y6. The unit selling price for the 8" 10" frame is expected to increase to $21 and the unit selling price for the 12" 16" frame is expected to increase to $37, effective January 1, 20Y7.

Required:

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1. Compute the increase or decrease of actual unit sales for the year ended December 31, 20Y6, over budget. Use the minus sign to indicate a decrease in amount and percent. Round percents to the nearest whole percent.

		Unit Sales, Year Ended 20Y6				Increase (Decrease) Actual Over Budget
		Budget		Actual Sales		Amount	Percent
8" 10" Frame:
	East	fill in the blank c8a547fff05dfcd_1		fill in the blank c8a547fff05dfcd_2		fill in the blank c8a547fff05dfcd_3	fill in the blank c8a547fff05dfcd_4%
	Central	fill in the blank c8a547fff05dfcd_5		fill in the blank c8a547fff05dfcd_6		fill in the blank c8a547fff05dfcd_7	fill in the blank c8a547fff05dfcd_8%
	West	fill in the blank c8a547fff05dfcd_9		fill in the blank c8a547fff05dfcd_10		fill in the blank c8a547fff05dfcd_11	fill in the blank c8a547fff05dfcd_12%
12" 16" Frame:
	East	fill in the blank c8a547fff05dfcd_13		fill in the blank c8a547fff05dfcd_14		fill in the blank c8a547fff05dfcd_15	fill in the blank c8a547fff05dfcd_16%
	Central	fill in the blank c8a547fff05dfcd_17		fill in the blank c8a547fff05dfcd_18		fill in the blank c8a547fff05dfcd_19	fill in the blank c8a547fff05dfcd_20%
	West	fill in the blank c8a547fff05dfcd_21		fill in the blank c8a547fff05dfcd_22		fill in the blank c8a547fff05dfcd_23	fill in the blank c8a547fff05dfcd_24%

2. Assuming that the increase or decrease in actual sales to budget indicated in part (1) is to continue in 20Y7, compute the unit sales volume to be used for preparing the sales budget for the year ending December 31, 20Y7. Use the minus sign to indicate a decrease in percent. Round budgeted units to the nearest whole unit.

		20Y6 Actual Units		Percentage Increase (Decrease)	20Y7 Budgeted Units (rounded)
8" 10" Frame:
	East	fill in the blank c8a547fff05dfcd_25		fill in the blank c8a547fff05dfcd_26%	fill in the blank c8a547fff05dfcd_27
	Central	fill in the blank c8a547fff05dfcd_28		fill in the blank c8a547fff05dfcd_29%	fill in the blank c8a547fff05dfcd_30
	West	fill in the blank c8a547fff05dfcd_31		fill in the blank c8a547fff05dfcd_32%	fill in the blank c8a547fff05dfcd_33
12" 16" Frame:
	East	fill in the blank c8a547fff05dfcd_34		fill in the blank c8a547fff05dfcd_35%	fill in the blank c8a547fff05dfcd_36
	Central	fill in the blank c8a547fff05dfcd_37		fill in the blank c8a547fff05dfcd_38%	fill in the blank c8a547fff05dfcd_39
	West	fill in the blank c8a547fff05dfcd_40		fill in the blank c8a547fff05dfcd_41%	fill in the blank c8a547fff05dfcd_42

Question Content Area

3. Prepare a sales budget for the year ending December 31, 20Y7.

Raphael Frame Company Sales Budget For the Year Ending December 31, 20Y7

Product and Area	Unit Sales Volume	Unit Selling Price	Total Sales
8" 10" Frame:
East	fill in the blank 3e3be3fe8fd703a_1	$fill in the blank 3e3be3fe8fd703a_2	$fill in the blank 3e3be3fe8fd703a_3
Central	fill in the blank 3e3be3fe8fd703a_4	fill in the blank 3e3be3fe8fd703a_5	fill in the blank 3e3be3fe8fd703a_6
West	fill in the blank 3e3be3fe8fd703a_7	fill in the blank 3e3be3fe8fd703a_8	fill in the blank 3e3be3fe8fd703a_9
Total	fill in the blank 3e3be3fe8fd703a_10		$fill in the blank 3e3be3fe8fd703a_11
12" 16" Frame:
East	fill in the blank 3e3be3fe8fd703a_12	$fill in the blank 3e3be3fe8fd703a_13	$fill in the blank 3e3be3fe8fd703a_14
Central	fill in the blank 3e3be3fe8fd703a_15	fill in the blank 3e3be3fe8fd703a_16	fill in the blank 3e3be3fe8fd703a_17
West	fill in the blank 3e3be3fe8fd703a_18	fill in the blank 3e3be3fe8fd703a_19	fill in the blank 3e3be3fe8fd703a_20
Total	fill in the blank 3e3be3fe8fd703a_21		$fill in the blank 3e3be3fe8fd703a_22
Total revenue from sales			$fill in the blank 3e3be3fe8fd703a_23