Solution-Determine what the budgeted sales revenue

Determine what the budgeted sales revenue

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Problem 1: G Corporation produces push-button switches used in the manufacture of electric fans. For the year 200B, the sales of electric fans has been forecasted at 800,000 units. Each unit of electric fans requires 4 pieces of push-button switches. Porterte regularly supplies 60% of the push-button switches used in the production of new electric fans. In addition, a replacement parts market also exists. Over the past 5 years, the sales of the replacement push-button switches have increased per year by 20% of the preceding yearâ s sales. In 200A, Porterte sold 150,000 pieces of push-button replacement switches. The trend is expected to continue in 200B. The company sells the push-button switches for P10 per piece in both markets. The budgeted sales revenue based on the expected number of pieces of push-button switches to be sold in 200B is

Option 1: P19,200,000.

Option 2: P21,000,000.

Option 3: P20,700,000

Option 4: P 2,100,000

Reference no: EM132769984

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Determine what the budgeted sales revenue

Reference no: EM132769984

Reference no: EM132769984

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