Requirement 2: The company has just hired a new marketing manager who insists that unit sales can be dramatically increased by dropping the selling price from $8 to $7. The marketing manager would like to use the following projections in the budget: Year 2 Quarter Data Budgeted unit sales 50,000 70,000 110,000 60,000 Selling price per unit $ 7 Year 3 Quarter 1 2 90,000 90,000 B C D E F 1 Chapter 8: Applying Excel 3 Data 3 110,000 4 60,000 Year 3 Quarter 1 90,000 2 90,000 50,000 70,000 $ 7 per unit $ 65,000 75% 25% Budgeted unit sales 6 Selling price per unit 4. Accounts receivable, beginning balance 8 . Sales collected in the quarter sales are 9 made 10. Sales collected in the quarter after sales 11 are made 12. Desired ending finished goods inventory 1 13. . Finished goods inventory, beginning 14. Raw materials required to produce one 15 unit 16. Desired ending inventory of raw materials 17 is 19. Raw materials inventory, beginning 10. Raw material costs Raw materials purchases are paid and 30% of the budgeted unit sales of the next quarter 12,000 units 5 pounds $ 10% of the next quarter's production needs 23,000 pounds 0.80 per pound 60% in the quarter the purchases are made 40% in the quarter following purchase a. What are the total expected cash collections for the year under this revised budget? Expected cash collections for the year $ 1,955,000 b. What is the total required production for the year under this revised budget? Total required production for the year 95,000 c. What is the total cost of raw materials to be purchased for the year under this revised budget? Total cost of raw materials to be purchased for the year 1,203,400 d. What are the total expected cash disbursements for raw materials for the year under this revised budget? Total expected cash disbursements for raw materials for the year $ 1,176,340