Problem 1

Sales Budget

Valley Manufacturing makes and sells a single product that has seasonal variations in demand with peak sales occurring in the fourth quarter. Valley operates on a calendar year basis. The following information is related to the first 2 quarters of 2022. The companys single product sells for $500 per unit; however the company intends to raise the selling price to $520 at the beginning of the second quarter. Budgeted sales in units for the first 2 quarters of 2022 are as follows:

Quarter 1 Quarter 2

Budgeted sales in units 16,000 18,000

Prepare a sales budget in good form for quarter 1 and quarter 2. The totals for the six month period combined are not needed.

__________________________

_________________________

_____________________________