Madagascar HVAC Inc, distributes residential and industrial air conditioners to specialty shops that sell a variety of home heating and cooling products. Faizan Indra, the controller of Madagascaris reassessing its sales focus. Between 2015 and 2019, there was an increase in demand for industrial air conditioners as a large industrial park in the area offered more building lots for small to medium sized businesses that required air conditioning units. The building project was completed at the end of 2019. The following sales and costing data are available for 2020: Residential air Industrial air conditioners conditioners Actual units sold 8,200 32,800 Budgeted sales 6,000 34,000 Actual selling price $850 $1,200 Budgeted selling price $830 $1,150 Budget cont margin /unit $275 $375 Actual cont margin/unit $270 $385 Madagascarsubscribes to Market Data Forecast (MDF) which provides market forecasts for all air conditioner sales within Madagascar's sales region. At the beginning of 2020the forecasted sales of all air conditioners within Madagascar's sales are awas500,000 units. Madagascar's planned market share of this amount was 8%. At the end of 2020MDF reported actual salesin this areaof550,000airconditioners. MDF's report stated that demand for air conditioners spiked in the summer of 2020 and is tinue to ho at these levels in 2021. The industry forecaststhis trend will Act Madagascar HVAC Inc, distributes residential and industrial air conditioners to specialty shops that sell a variety of home heating and cooling products. Faizan Indra, the controller of Madagascaris reassessing its sales focus. Between 2015 and 2019, there was an increase in demand for industrial air conditioners as a large industrial park in the area offered more building lots for small to medium sized businesses that required air conditioning units. The building project was completed at the end of 2019. The following sales and costing data are available for 2020: Residential air Industrial air conditioners conditioners Actual units sold 8,200 32,800 Budgeted sales 6,000 34,000 Actual selling price $850 $1,200 Budgeted selling price $830 $1,150 Budget cont margin /unit $275 $375 Actual cont margin/unit $270 $385 Madagascarsubscribes to Market Data Forecast (MDF) which provides market forecasts for all air conditioner sales within Madagascar's sales region. At the beginning of 2020the forecasted sales of all air conditioners within Madagascar's sales are awas500,000 units. Madagascar's planned market share of this amount was 8%. At the end of 2020MDF reported actual salesin this areaof550,000airconditioners. MDF's report stated that demand for air conditioners spiked in the summer of 2020 and is tinue to ho at these levels in 2021. The industry forecaststhis trend will Act
