Cellular Solutions Inc

question 59

Essay

Cellular Solutions Inc.had a very successful year in 2013.Based on a $125 average unit selling price,monthly sales during 2013 were as follows:
Mr.James,vice president of sales,is preparing the sales budget for 2014.Increased manufacturing costs will make it necessary to increase the selling price by 12 percent.Even with this price increase,the unit volume of sales is expected to increase by 25 percent.The seasonal sales pattern shown for 2013 is expected to continue in 2014.
a.Prepare the monthly sales unit and dollar budgets for the first quarter of 2014.
b.Mr.Serene is considering the possibility of raising the average selling price by 20 percent in 2014.If this action is taken,he projects that the sales volume for the year will increase by only 10 percent.What would forecasted sales in units and dollars be in 2014 if his projection is correct?

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Definitions:

Tracheostomy Care

The care and maintenance of a tracheostomy tube, including cleaning and monitoring, to ensure the airway remains open.

Terminally Ill Patient

An individual diagnosed with a disease that is expected to lead to death in a relatively short period, often involving palliative care.

Enhanced Comfort

A superior state of ease and contentment that exceeds basic comfort levels, often through additional measures or interventions.

Peaceful Death

A concept of dying that is free from pain, distress, or suffering, often within the context of palliative care.