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Forecast Sales Volume and Sales Budget For 20Y6, Raphael Frame Company prepared the sales budget that follows. At the end of December 2016, the following unit sales data were reported for the year: Unit Sales 8" 8" x 10" Frame 12" X 16" Frame East 28,737 11,960 Central 7,575 4,606 West 6,790 3,914 Raphael Frame Company Sales Budget For the Year Ending December 31, 2016 Unit Unit Sales Selling Price Product and Area Volume Total Sales 8" x 10" Frame: : East 27,900 $23 $641,700 Central 7,500 23 172,500 West 7,000 23 161,000 Total 42,400 $975,200 " 12" X 16" Frame: East 11,500 $38 $437,000 Central 4,700 38 178,600 West 3,800 38 144,400 Total 20,000 $760,000 Total revenue from sales $1,735,200 For the year ending December 31, 2017, unit sales are expected to follow the patterns established during the year ending December 31, 2016. The unit selling price for the 8" x 10" frame is expected to increase to $24 and the unit selling price for the 12" X 16" frame is expected to increase to $40, effective January 1, 2017. Required: 1. Compute the increase or decrease of actual unit sales for the year ended December 31, 2046, over budget. Use the minus sign to indicate a decrease in amount and percent. Round percents to the nearest whole percent. Unit Sales, Year Ended 2016 Increase (Decrease) Actual Over Budget Amount Percent Budget Actual Sales 8" X 10' Frame: East ya Central 5 % West % 12" X 16" Frame: East % Central Ill ! % West % 2. Assuming that the increase or decrease in actual sales to budget indicated in part (1) is to continue in 2017, compute the unit sales volume to be used for preparing the sales budget for the year ending December 31, 2017. Use the minus sign to indicate a decrease in percent. Round budgeted units to the nearest whole unit. 2017 2016 Actual Units Percentage Increase (Decrease) Budgeted Units (rounded) 8" X 10' Frame: East Central % West % 12" X 16" Frame: III ill III III III ili East % Central % West % 3. Prepare a sales budget for the year ending December 31, 2017. Raphael Frame Company Sales Budget For the Year Ending December 31, 2047 Product and Area Unit Sales Volume Unit Selling Price Total Sales 8" x 10" Frame: East Central West DDDDDD DI Total ml mli 12" X 16" Frame: East Central West Total Total revenue from sales

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