The usefulness of budgets, variances, and related analyses often depends on the accuracy of management’s estimates of future sales activity.

Required
1. Identify and record the prior three years’ sales (in dollars) for both Best Buy, Circuit City, and RadioShack using their financial statements in Appendix A.
2. Using the data in part 1, predict all three companies’ sales activity for the next two to three years. (If possible, compare your predictions to actual sales figures for these years.)