For 2018 , Potts marketing managers project monthly sales of 490 comma 000 12-ounce bottles and 200 comma 000 1-gallon containers. Average selling prices are estimated at $ 0.60 per 12-ounce bottle and $ 1.20 per 1-gallon container. Prepare a revenues budget for Potts , Inc., for the year ending December 31, 2018.

Question

Business

Azul Patrick

5 July, 15:54

For 2018 , Potts marketing managers project monthly sales of 490 comma 000 12-ounce bottles and 200 comma 000 1-gallon containers. Average selling prices are estimated at $ 0.60 per 12-ounce bottle and $ 1.20 per 1-gallon container. Prepare a revenues budget for Potts , Inc., for the year ending December 31, 2018.

+3

Answers (1)

Know the Answer?

Reed · Answer 1

Revenue budget for the year 2018 = $ 534,000.00

Explanation:

A revenue budget is the estimated sales income projected for a forthcoming period.

The revenue budget is prepared by simply multiplying the projected sales quantity by the average selling price per unit

Revenue budget for 2018

Revenue from Ounce = 490,000 * $0.60 = $294,000.00

Revenue from Gallon = 200,000 * $1.20 = $240,000.00

Revenue budget for the year 2018 534,000.00