Question

Paige Company estimates that unit sales will be 10,600 in quarter 1, 12,600 in quarter 2, 14,500 in quarter 3, and 18,500 in quarter 4. Using a sales price of $81 per unit.Prepare the sales budget by quarters for the year ending December 31, 2020.

Answer 1

Answer and Explanation:

The preparation of the sales budget for the year ending Dec 31,2020 is presented below:

Paige company

Sales budget

For the year ending December 31, 2020

Quarters

Particulars 1 2 3 4 Year

Unit sales 10,600 12,600 14,500 18,500 56,200

units units units units units

Sales price $81 $81 $81 $81 $81

Estimated

Sales value $858,600 $1,020,600 $1,174,500 $1,498,500 $4,552,200

We simply multiplied the units sales with the sales price so that the estimated sales value could come