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Kindly Answer all the parts please Motorcycle Inc prepare sales budgets on a product line Basis. To create reliable sales budgets, the dealership uses two
Kindly Answer all the parts please
Motorcycle Inc prepare sales budgets on a product line Basis. To create reliable sales budgets, the dealership uses two main planning assumptions a) Average data of the past 3 years of the types vehicles that are sold at the dealership. b) Customer activity and economic assessments to determine the most likely change in vehicle sales the next year. Due to the economic recovery, higher fuel costs and the recent growth in vehicle sales, motorcycle shop are expecting a 10% increase in vehicle sales across all models next year. Pricing and commission rates are expected to be as follows. Based on the information provided, prepare I. Monthly Product line sales budget for next year showing total sales II. A monthly budget showing commission earned by the dealership for next year III. A monthly budget showing the commission the dealership needs to pay to it sales people per month next year. IV. Expected Gross profit per month for the next year Is there anything that could potentially be wrong with the planning assumptions used to create the sales budget. Discuss the any weaknesses with each assumption and what you would do to improve those weaknessesStep by Step Solution
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