orecast 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	19,240		9,135
Central	5,100		3,136
West	4,416		2,575

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		18,500		$30		$555,000
Central		5,000		30		150,000
West		4,600		30		138,000
Total		28,100				$843,000
12" 16" Frame:
East		8,700		$45		$391,500
Central		3,200		45		144,000
West		2,500		45		112,500
Total		14,400				$648,000
Total revenue from sales						$1,491,000

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 $31 and the unit selling price for the 12" 16" frame is expected to increase to $47, effective January 1, 20Y7.

Required:

Question Content Area

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 7c7743fdafcaf7f_1		fill in the blank 7c7743fdafcaf7f_2		fill in the blank 7c7743fdafcaf7f_3	fill in the blank 7c7743fdafcaf7f_4%
	Central	fill in the blank 7c7743fdafcaf7f_5		fill in the blank 7c7743fdafcaf7f_6		fill in the blank 7c7743fdafcaf7f_7	fill in the blank 7c7743fdafcaf7f_8%
	West	fill in the blank 7c7743fdafcaf7f_9		fill in the blank 7c7743fdafcaf7f_10		fill in the blank 7c7743fdafcaf7f_11	fill in the blank 7c7743fdafcaf7f_12%
12" 16" Frame:
	East	fill in the blank 7c7743fdafcaf7f_13		fill in the blank 7c7743fdafcaf7f_14		fill in the blank 7c7743fdafcaf7f_15	fill in the blank 7c7743fdafcaf7f_16%
	Central	fill in the blank 7c7743fdafcaf7f_17		fill in the blank 7c7743fdafcaf7f_18		fill in the blank 7c7743fdafcaf7f_19	fill in the blank 7c7743fdafcaf7f_20%
	West	fill in the blank 7c7743fdafcaf7f_21		fill in the blank 7c7743fdafcaf7f_22		fill in the blank 7c7743fdafcaf7f_23	fill in the blank 7c7743fdafcaf7f_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 7c7743fdafcaf7f_25		fill in the blank 7c7743fdafcaf7f_26%	fill in the blank 7c7743fdafcaf7f_27
	Central	fill in the blank 7c7743fdafcaf7f_28		fill in the blank 7c7743fdafcaf7f_29%	fill in the blank 7c7743fdafcaf7f_30
	West	fill in the blank 7c7743fdafcaf7f_31		fill in the blank 7c7743fdafcaf7f_32%	fill in the blank 7c7743fdafcaf7f_33
12" 16" Frame:
	East	fill in the blank 7c7743fdafcaf7f_34		fill in the blank 7c7743fdafcaf7f_35%	fill in the blank 7c7743fdafcaf7f_36
	Central	fill in the blank 7c7743fdafcaf7f_37		fill in the blank 7c7743fdafcaf7f_38%	fill in the blank 7c7743fdafcaf7f_39
	West	fill in the blank 7c7743fdafcaf7f_40		fill in the blank 7c7743fdafcaf7f_41%	fill in the blank 7c7743fdafcaf7f_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 4b308c04d028f8c_1	$fill in the blank 4b308c04d028f8c_2	$fill in the blank 4b308c04d028f8c_3
Central	fill in the blank 4b308c04d028f8c_4	fill in the blank 4b308c04d028f8c_5	fill in the blank 4b308c04d028f8c_6
West	fill in the blank 4b308c04d028f8c_7	fill in the blank 4b308c04d028f8c_8	fill in the blank 4b308c04d028f8c_9
Total	fill in the blank 4b308c04d028f8c_10		$fill in the blank 4b308c04d028f8c_11
12" 16" Frame:
East	fill in the blank 4b308c04d028f8c_12	$fill in the blank 4b308c04d028f8c_13	$fill in the blank 4b308c04d028f8c_14
Central	fill in the blank 4b308c04d028f8c_15	fill in the blank 4b308c04d028f8c_16	fill in the blank 4b308c04d028f8c_17
West	fill in the blank 4b308c04d028f8c_18	fill in the blank 4b308c04d028f8c_19	fill in the blank 4b308c04d028f8c_20
Total	fill in the blank 4b308c04d028f8c_21		$fill in the blank 4b308c04d028f8c_22
Total revenue from sales			$fill in the blank 4b308c04d028f8c_23