Budgeting query
samilou67
Registered Posts: 6 New contributor 🐸
I can work out how to do the year one sales prices but cannot work out how to do the Year5 sales revenue forecast can anyone help please?
Yr 1 Yr2 Yr3 Yr4 Yr 5
Sales Rev 12200 12747 13527 14091 14891
Price index 110 114 120 124 130
Revenue 12200 12300 12400 12500
Yr 1 Yr2 Yr3 Yr4 Yr 5
Sales Rev 12200 12747 13527 14091 14891
Price index 110 114 120 124 130
Revenue 12200 12300 12400 12500
0
Comments
-
Good morning,
In order to to solve the sales revenue, you must remember that it will be current year price index / (divide by) base index. In this question the base index is the first year price index of 110. In the exam it may say the base index is 201 (example). So to work out for Year 3 sales revenue, it will be 120 / 110 x (multiply) 12,400 = £13,527.27 (but do bare in mind they have rounded down as its less than .50 so it would be £13,527
Hope this helps you out and good luck
Kind regards
Shamil Karia0 -
Thank you0
-
Your most welcome0
Categories
- All Categories
- 1.2K Books to buy and sell
- 2.3K General discussion
- 12.5K For AAT students
- 318 NEW! Qualifications 2022
- 161 General Qualifications 2022 discussion
- 11 AAT Level 2 Certificate in Accounting
- 56 AAT Level 3 Diploma in Accounting
- 87 AAT Level 4 Diploma in Professional Accounting
- 8.8K For accounting professionals
- 23 coronavirus (Covid-19)
- 272 VAT
- 92 Software
- 273 Tax
- 135 Bookkeeping
- 7.2K General accounting discussion
- 200 AAT member discussion
- 3.8K For everyone
- 38 AAT news and announcements
- 345 Feedback for AAT
- 2.8K Chat and off-topic discussion
- 582 Job postings
- 16 Who can benefit from AAT?
- 36 Where can AAT take me?
- 42 Getting started with AAT
- 26 Finding an AAT training provider
- 48 Distance learning and other ways to study AAT
- 25 Apprenticeships
- 66 AAT membership