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17 May, 16:29

Cameroon Corp. manufactures and sells electric staplers for $16 each. If 20,000 units were sold in December, and management forecasts 4% growth in sales each month, the number of electric stapler sales budgeted for February should be:

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  1. 17 May, 16:34
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    Budgeted Sales for January 20,800 units at $ 16 = $ 33,2800

    Budgeted Sales for February 21,632 units at $ 16 = $ 346,112

    Explanation:

    Cameroon Corp. Manufacturers

    Sales in Dec 20,000 units at $ 16 $ 320, 000

    Growth in Sales = 4 % of $ 20,000 = 800

    Budgeted Sales units for January = 20,000 + 800 = 20,800

    Budgeted Sales for January 20,800 units at $ 16 = $ 33,2800

    Budgeted Sales for February 21,632 at $ 16 = $ 346,112

    Growth in Sales = 4% of 20,800 = 832 units

    Budgeted Sales units for February = 20,800 + 832 = 21,632
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