Miller Inc.had the following sales during 2016:
$\begin{array}{ll}
\text { Quarter 1 } & 10,000 \text { units } \
\text { Quarter 2 } & 11,000 \text { units } \
\text { Quarter 3 } & 14,000 \text { units } \
\text { Quarter 4 } & 12,000 \text { units }
\end{array}$
Miller expects sales in each quarter of 2013 to be 10% more than the respective quarters for 2016.If each unit sells for $110,what amounts will appear as sales revenue in the quarterly sales budgets for 2013?
A)$990,000;$1,089,000;$1,386,000;$1,188,000
B)$1,100,000;$1,210,000;$1,540,000;$1,320,000
C)$1,421,750;$1,421,750;$1,421,750;$1,421,750
D)$1,210,000;$1,331,000;$1,694,000;$1,452,000
E)None of the answer choices is correct.

Question

Quizplus · Accepted Answer

To calculate the sales revenue for each quarter in 2013, first, increase each quarter's sales units by 10% over 2016, then multiply by the unit price of $110. For example, Q1 2016 sales were 10,000 units, so Q1 2013 is expected to be 11,000 units (10,000 * 1.10). Multiplying 11,000 units by $110 gives $1,210,000 for Q1 2013. Applying the same calculation for other quarters gives the respective amounts for each quarter, matching option D.

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