exi Company forecasts unit sales of 1,880,000 in April, 1,270,000 in May, 810,000 in June, and 1,480,000 in July. Beginning inventory April 1 is 310,000 units, and the company wants to have 30% of next month's sales in inventory at the end of each month. Prepare a merchandise purchases budget for the months of April, May, and June. LEXI COMPANY Merchandise Purchases Budget For April, May, and June April 1,270,000 30% Next month's budgeted sales (units) Ratio of inventory to future sales Required units of available inventory Units to be purchased May 810,000 30% L June 1,480,000 30%
exi Company forecasts unit sales of 1,880,000 in April, 1,270,000 in May, 810,000 in June, and 1,480,000 in July. Beginning inventory April 1 is 310,000 units, and the company wants to have 30% of next month's sales in inventory at the end of each month. Prepare a merchandise purchases budget for the months of April, May, and June. LEXI COMPANY Merchandise Purchases Budget For April, May, and June April 1,270,000 30% Next month's budgeted sales (units) Ratio of inventory to future sales Required units of available inventory Units to be purchased May 810,000 30% L June 1,480,000 30%
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:exi Company forecasts unit sales of 1,880,000 in April, 1,270,000 in May, 810,000 in June, and 1,480,000 in July. Beginning inventory
April 1 is 310,000 units, and the company wants to have 30% of next month's sales in inventory at the end of each month. Prepare a
merchandise purchases budget for the months of April, May, and June.
LEXI COMPANY
Merchandise Purchases Budget
For April, May, and June
April
1,270,000
30%
Next month's budgeted sales (units)
Ratio of inventory to future sales
Required units of available inventory
Units to be purchased
May
810,000
30%
WILL
June
1,480,000
30%
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