Hawle Manufacturing Company is in the process of preparing its 2012 budget and is anticipating the following changes: 30% increase in the number of units sold.20% increase in the direct material unit cost.15% increase in the direct labor cost per unit.10% increase in the manufacturing overhead cost per unit.14% increase in the marketing price.7% increase in the administrative expenses.Hawle does not keep any units in inventory.The composition of the cost of finished products during 2012 for materials,direct labor,and factory overhead,respectively,was in the ratio of 3 to 2 to 1.The condensed income statement for 2012 is as follows: What are estimated net sales for 2012,assuming the sales return/gross sales relationship remains constant?

Question

Hawle Manufacturing Company is in the process of preparing its 2012 budget and is anticipating the following changes: 30% increase in the number of units sold.20% increase in the direct material unit cost.15% increase in the direct labor cost per unit.10% increase in the manufacturing overhead cost per unit.14% increase in the marketing price.7% increase in the administrative expenses.Hawle does not keep any units in inventory.The composition of the cost of finished products during 2012 for materials,direct labor,and factory overhead,respectively,was in the ratio of 3 to 2 to 1.The condensed income statement for 2012 is as follows:  What are estimated net sales for 2012,assuming the sales return/gross sales relationship remains constant?

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The Answer of Hawle Manufacturing Company is in the process of preparing its 2012 budget and is anticipating the following changes: 30% increase in the number of units sold.20% increase in the direct material unit cost.15% increase in the direct labor cost per unit.10% increase in the manufacturing overhead cost per unit.14% increase in the marketing price.7% increase in the administrative expenses.Hawle does not keep any units in inventory.The composition of the cost of finished products during 2012 for materials,direct labor,and factory overhead,respectively,was in the ratio of 3 to 2 to 1.The condensed income statement for 2012 is as follows:  What are estimated net sales for 2012,assuming the sales return/gross sales relationship remains constant?

Hawle Manufacturing Company Is in the Process of Preparing Its