Question

Zhang Industries sells a product for $840. Unit sales for May were 600 and each month's sales are expected to exceed the prior month's results by 4%. Compute the total budgeted sales dollars for the month ended June 30.

Answer 1

Answer: $734,160

Explanation:

Sales in June are to be 4% higher than May.

Sales in June = 840 * ( 1 + 4%)

= 873.6 units

= 874 units rounded up

Budgeted sales dollars;

= 874 * 840

= $734,160