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bearhunter [10]
4 years ago
10

Navigator sells GPS trackers for $50 each. It expects sales of 5,000 units in quarter 1 and a 5% increase each subsequent quarte

r for the next 8 quarters. Prepare a sales budget by quarter for the first year. What is the amount of total sales revenue for the year?
Business
1 answer:
dlinn [17]4 years ago
5 0

Answer and Explanation:

The Preparation of the sales budget and the computation of the amount of total sales revenue for the year is shown below:-

<u>Sales Budget  For Year 1   </u>

Quarter     Number of   Sale price (B)     Sales Revenue

                 Units (A)                                   (A) × (B)

1                      5,000              $50              $250,000

2                      5,250             $50              $262,500

(5,000 × 105%)

3                     5,513                $50             $275,650

(5,250 × 105%)  

4                   5,789                 $50           $289,450

(5,513 × 105%)

Total                                                        $1,077,600

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