Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Pen Pen Q3. Central Trading LLC, Oman operates in three countries UAE, India and Oman, which sells three branded products named as pen, pencil and

image text in transcribed

Pen Pen Q3. Central Trading LLC, Oman operates in three countries UAE, India and Oman, which sells three branded products named as pen, pencil and eraser. The budget committee needs a sales budget for the next three months July, August and September are as follows: ProductUAE India Oman Pencil 1,00,000 30,000 70,000 80,000 165,000 80,000 Eraser 40,000 45,000 40,000 Actual sales units for the current year based on actual sales to the date and estimated sales for the balance of the year are: ProductUAE India Oman Pencil 70,000 50,000 70,000 160,000 75,000 90,000 Eraser 25,000 40,000 30,000 The selling prices per unit of pencil, pen and eraser are OMR 5, OMR 10 and OMR 1 respectively. In the discussion with divisional sales managers, it was informed that product pencil is oversold. They proposed the following: If the price is increased by 10%, even then it finds a ready market. Price of pen can be reduced by 5% and eraser by 10%. By incorporating these changes, the sales will be as follows: ProductUAE India Oman Pencil (+30%) (+40%)(+20%) Pen (-10% (+30% (-10%) Raiser (+10%)(+20%)|(+10%) You are required to prepare the budget for the current year as well as budget for next year

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Surviving An IRS Tax Audit

Authors: Frederick W. Daily

3rd Edition

1413318649, 978-1413318647

More Books

Students also viewed these Accounting questions

Question

Express the single-pair shortest-path problem as a linear program.

Answered: 1 week ago