Question

Sales Budget FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. FlashKick’s best-selling lines are the practice ball line (durable soccer balls for training and practice) and the match ball line (high-performance soccer balls used in games). In the first four months of next year, FlashKick expects to sell the following:

__________Practice Balls_______________________Match Balls

_____Units _______Selling Price __________Units ________Selling Price

January ____50,000 _____$8.25__________7,000 ___________$16.00

February ___58,000_____ $8.25_________ 7,500____________ $16.00

March_____ 80,000_____ $8.25________ 13,000____________ $16.00

April_____ 100,000_____ $8.25________ 18,000_____________ $16.00

Required:

1. Construct a sales budget for FlashKick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter. If required, round your answers to the nearest cent.

FlashKick Company

Sales Budget For the

First Quarter of Next Year

________January __________February_______ March______ Quarter

Practice ball:

Units _________?___________?______________?____________?

Unit price _________$ _______$ _____________$____________ $

Sales ____________$ _______$ _____________$____________ $

Match ball:

Units________?__________?________?_______?

Unit price____ $ _________$ ________$ ______$

Sales_______ $ _________$ ________$______ $

Total sales __$__________ $________ $______ $

2. What if FlashKick added a third line—tournament quality soccer balls that were expected to take 40 percent of the units sold of the match balls and would have a selling price of $45 each in January and February, and $48 each in March? Prepare a sales budget for FlashKick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter. If required, round your answers to the nearest cent.

FlashKick Company

Sales Budget

For the First Quarter

_________January________ February______ March_______ Quarter

Practice ball:

Units______?__________?_________?__________?

Unit price __$__________$_________$ ________$

Sales _____$ _________$________ $__________ $

Match ball:

Units______?_________?_________?__________?

Unit price__ $ ________$ _________$_________ $

Sales _____$________ $_________ $________ $

Tournament ball:

Units______?________?__________?__________?

Unit price __$ _______$__________ $_________ $

Sales_____ $_______ $__________ $_________ $

Total sales___ $_____ $__________ $_________ $

Answer 1

• All working forms part of the answer
• All amounts are in $, except units
• Requirement 1

	January	February	March	Quarter
PRACTICE BALL:
Units	50000	58000	80000	188000
Unit price ($)	8.25	8.25	8.25	8.25
Sales ($)	412500	478500	660000	1551000
MATCH BALL
Units	7000	7500	13000	27500
Unit price ($)	16	16	16	16
Sales ($)	112000	120000	208000	440000
Total Sales ($)	524500	598500	868000	1991000

• Requirement 2

	January	February	March	Quarter
PRACTICE BALL:
Units	50000	58000	80000	188000
Unit price ($)	8.25	8.25	8.25	8.25
Sales ($)	412500	478500	660000	1551000
MATCH BALL
Units	7000	7500	13000	27500
Unit price ($)	16	16	16	16
Sales ($)	112000	120000	208000	440000
TOURNAMENT BALL:
Units	2800	3000	5200	11000
Unit Price ($)	45	45	48
Sales ($)	126000	135000	249600	510600
Total Sales ($)	$650,500	$733,500	$1,117,600	$2,501,600