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Violet Sales Corp, reports the year-end information from 2019 as follows: Violet is developing the 2020 budget. In 2020 the company would like to increase

Violet Sales Corp, reports the year-end information from 2019 as follows:

Violet is developing the 2020 budget. In 2020 the company would like to increase selling prices by 3.5%, and as a result expects a decrease in sales volume of 14%. All other operating expenses are expected to remain constant. Assume that cost of goods sold is a variable cost and that operating expenses are a fixed cost.

What is budgeted sales for 2020? (Round interim calculations to the nearest cent and the final answer to the nearest dollar)

$335,092

$293,940

$284,001

$252,788

Sales (35,500 units) $284,000

Cost of goods sold 105,000

Gross margin 179,000

Operating expenses 152,000

Operating income $27,000

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