Fireside Inc.had sales as follows during 2016:
$\begin{array}{ll}
\text { Quarter 1 } & 15,000 \text { units } \
\text { Quarter 2 } & 15,500 \text { units } \
\text { Quarter 3 } & 18,000 \text { units } \
\text { Quarter 4 } & 16,000 \text { units }
\end{array}$
Fireside expects sales in each quarter of 2013 to be 15% more than the respective quarters for 2016.If each unit sells for $40,what amounts will appear as sales revenue in the quarterly sales budgets for 2013?
A)$690,000;$713,000;$828,000;$736,000
B)$741,750;$741,750;$741,750;$741,750
C)$540,000;$558,000;$648,000;$576,000
D)$600,000;$620,000;$720,000;$640,000
E)None of the answer choices is correct.

Question

Quizplus · Accepted Answer

To calculate the sales revenue for each quarter in 2013, first calculate the expected units sold by increasing each quarter's 2016 sales by 15%. Then, multiply the expected units by the unit price of $40.- Q1 2016: 15,000 units; Q1 2013 expected: 15,000 * 1.15 = 17,250 units; Revenue: 17,250 * $40 = $690,000- Q2 2016: 15,500 units; Q2 2013 expected: 15,500 * 1.15 = 17,825 units; Revenue: 17,825 * $40 = $713,000- Q3 2016: 18,000 units; Q3 2013 expected: 18,000 * 1.15 = 20,700 units; Revenue: 20,700 * $40 = $828,000- Q4 2016: 16,000 units; Q4 2013 expected: 16,000 * 1.15 = 18,400 units; Revenue: 18,400 * $40 = $736,000Therefore, the correct answer is A, which matches these calculations.

Fireside Inc Fireside Expects Sales in Each Quarter of 2013 to Be