Problem - Greenfield Corporation uses a calendar year end.
Recent and Forecasted Widget Sales in Units:
- October (actual) 30,000.
- November (actual) 34,000.
- December (actual) 38,000.
- January 40,000.
- February 55,000.
- March 60,000.
The price per unit is $10.
Instructions - For this assignment, complete the following:
Using the information provided, indicate to executive sales management to explain the budget and sales projections. The memo should clearly explain the concept of cost-volume-profit (CVP) analysis and how the analysis can be used to plan and control cost including how variable and fixed cost impact the CVP analysis.