Workman Company had sales of 15,000 units of its only product in the first quarter of 2017.In the first quarter of 2018, Workman anticipates selling 20% more units than it sold in the first quarter of 2017, with a selling price of $68 per unit.What is the amount of sales revenue that will appear in the budgeted income statement for the first quarter of 2018?

Question

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In the first quarter of 2018, Workman anticipates selling 20% more units than the 15,000 units sold in 2017, which is 18,000 units (15,000 * 1.20). With a selling price of $68 per unit, the sales revenue will be 18,000 units * $68 = $1,224,000.

Workman Company Had Sales of 15,000 Units of Its Only