Question: Jon's Game Store sells computer and other electronic games. The store has budgeted sales for January 2008 as indicated in the given table. The company expects an 8% increase in sales for the month of February and a 5% increase for March.
|
Sales
|
January
|
February
|
March
|
|
Cash sales
|
$20,000
|
?
|
?
|
|
Sales on account
|
40,000
|
?
|
?
|
|
Total budgeted sales
|
$60,000
|
?
|
?
|
Required:
[A] Calculate the sales budget by filling in the missing amounts.
[B] Calculate the amount of sales revenue the company will report on its pro forma income statement for the 1st quarter?