Forecast sales volume and sales budget

For 20Y8, Raphael Frame Company prepared the sales budget that follows.

At the end of December 20Y8, the following unit sales data were reported for the year:

Line Item Description	Unit Sales 8" 10" Frame	Unit Sales 12" 16" Frame
East	24,960	14,280
Central	6,120	5,194
West	5,280	4,326

Raphael Frame Company Sales Budget For the Year Ending December 31, 20Y8

Product and Area	Unit Sales Volume	Unit Selling Price	Total Sales
8" 10" Frame:
East	24,000	$24	$576,000
Central	6,000	24	144,000
West	5,500	24	132,000
Total	35,500		$852,000
12" 16" Frame:
East	13,600	$39	$530,400
Central	5,300	39	206,700
West	4,200	39	163,800
Total	23,100		$900,900
Total revenue from sales			$1,752,900

For the year ending December 31, 20Y9, unit sales are expected to follow the patterns established during the year ending December 31, 20Y8. The unit selling price for the 8" 10" frame is expected to increase to $25 and the unit selling price for the 12" 16" frame is expected to increase to $41, effective January 1, 20Y9.

Required:

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1. Compute the increase or decrease of actual unit sales for the year ended December 31, 20Y8, over budget. Use the minus sign to indicate a decrease in amount and percent. Round percents to the nearest whole percent.

Line Item Description	Unit Sales, Year Ended 20Y8 Budget	Unit Sales, Year Ended 20Y8 Actual Sales	Increase (Decrease) Actual Over Budget Amount	Increase (Decrease) Actual Over Budget Percent
8" 10" Frame:
East	fill in the blank 1 of 24	fill in the blank 2 of 24	fill in the blank 3 of 24	fill in the blank 4 of 24 %
Central	fill in the blank 5 of 24	fill in the blank 6 of 24	fill in the blank 7 of 24	fill in the blank 8 of 24 %
West	fill in the blank 9 of 24	fill in the blank 10 of 24	fill in the blank 11 of 24	fill in the blank 12 of 24 %
12" 16" Frame:
East	fill in the blank 13 of 24	fill in the blank 14 of 24	fill in the blank 15 of 24	fill in the blank 16 of 24 %
Central	fill in the blank 17 of 24	fill in the blank 18 of 24	fill in the blank 19 of 24	fill in the blank 20 of 24 %
West	fill in the blank 21 of 24	fill in the blank 22 of 24	fill in the blank 23 of 24	fill in the blank 24 of 24 %

2. Assuming that the increase or decrease in actual sales to budget indicated in part (1) is to continue in 20Y9, compute the unit sales volume to be used for preparing the sales budget for the year ending December 31, 20Y9. Use the minus sign to indicate a decrease in percent. Round budgeted units to the nearest whole unit.

Line Item Description	20Y8 Actual Units	Percentage Increase (Decrease)	20Y9 Budgeted Units (rounded)
8" 10" Frame:
East	fill in the blank 1 of 18	fill in the blank 2 of 18 %	fill in the blank 3 of 18
Central	fill in the blank 4 of 18	fill in the blank 5 of 18 %	fill in the blank 6 of 18
West	fill in the blank 7 of 18	fill in the blank 8 of 18 %	fill in the blank 9 of 18
12" 16" Frame:
East	fill in the blank 10 of 18	fill in the blank 11 of 18 %	fill in the blank 12 of 18
Central	fill in the blank 13 of 18	fill in the blank 14 of 18 %	fill in the blank 15 of 18
West	fill in the blank 16 of 18	fill in the blank 17 of 18 %	fill in the blank 18 of 18

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To calculate the difference subtract budget from actual sales.

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3. Prepare a sales budget for the year ending December 31, 20Y9.

Raphael Frame Company Sales Budget For the Year Ending December 31, 20Y9

Product and Area	Unit Sales Volume	Unit Selling Price	Total Sales
8" 10" Frame:
East	East	$East	$East
Central	Central	Central	Central
West	West	West	West
Total	Total		$Total
12" 16" Frame:
East	East	$East	$East
Central	Central	Central	Central
West	West	West	West
Total	Total		$Total
Total revenue from sales			$Total revenue from sales