Barre plans to sell 5,000 units each quarter next year.During the ﬁrst two quarters each unit will sell for $12; during the last two quarters the sales price will increase $1.50 per unit.What is Barre's estimated sales revenue for next year?

Question

Quizplus · Accepted Answer

Barre's estimated sales revenue is calculated by multiplying the number of units sold each quarter by the sales price per unit. For the first two quarters: 5,000 units x $12 x 2 quarters = $120,000. For the last two quarters: 5,000 units x $13.50 x 2 quarters = $135,000. Total revenue for the year is $120,000 + $135,000 = $255,000.

Barre Plans to Sell 5,000 Units Each Quarter Next Year