The Game Zone sells computer and other electronic games. The store has budgeted sales for January Year 2 as indicated in the following table. The company expects a 4 percent increase in sales for the month of February and a 3 percent increase for March.SalesJanuaryFebruaryMarchCash sales$ 40,000??Sales on account$ 80,000??Total budgeted sales$ 120,000??Required:(a) Complete the sales budget by filling in the missing amounts.(b) What is the amount of sales revenue the company will report on its pro forma income statement for the first quarter?
What will be an ideal response?
Answers will vary
(a)
| Sales | January | February | March |
| Cash sales | $ 40,000 | $ 41,600 | $ 42,848 |
| Sales on account | $ 80,000 | $ 83,200 | $ 85,696 |
| Total budgeted sales | $ 120,000 | $ 124,800 | $ 128,544 |
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