you are required to prepare a budget for sales incorporating the above estimates and 649301

AB Ltd. manufactures two products, A and B and sells them through two divisions, north and south. For the purpose of submission of Sales Budget to the budget committee the following information is available. Budgeted Sales for the current year were,

Product A: north 4,000 units @ Rs.9 each, south 6,000 units @ Rs.9 each

Product B: north 3,000 units @ Rs.21 each, south 5,000 @ Rs.21 each Actual sales for the current year were,

Particulars	North	South
Product A	5,000 units @ Rs.9 each	7,000 units @ Rs.9 each
Product B	2,000 units @ Rs.21 each	4,000 units @ Rs.21 each

Adequate market studies reveal that Product A is popular but under priced. It is observed that if the price of A is increased by Re.1 it will still find a ready market. On the other hand, B is overpriced to customers and the market could absorb more if sales price of B is reduced by Re.1. The management has agreed to give effect to the above price changes.

From the information based on these price changes and reports from salesmen, the following estimates have been prepared by divisional managers.

Percentage increase in sales over current budget is,

Particulars	North	South
Product A	+ 10%	+ 5%
Product B	+ 20%	+ 10%

With the help of an intensive advertisement campaign, the following additional sales over the estimated sales of divisional managers are possible.

Additional sales above the estimated sales of divisional managers

Particulars	North	South
Product A	600	700
Product B	400	500

You are required to prepare a budget for sales incorporating the above estimates and also show the  budgeted sales and actual sales for the current year.