Purchases Budget Tiger Drug Store carries a variety of health and beauty aids, including 500-count bottles of vitamins. The sales budget for vitamins for the first six months of the year is presented below. anuary February March April -May lune Unit Sales 140 130 150 160 180 170 Dollar Sales $1,120 1,040 1,200 1,280 1,440 1,360 The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's projected sales. On January 1, 23 bottles of vitamins were in inventory. Required: 1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.

Purchases Budget Tiger Drug Store carries a variety of health and beauty aids, including 500-count bottles of vitamins. The sales budget for vitamins for the first six months of the year is presented below. anuary February March April -May lune Unit Sales 140 130 150 160 180 170 Dollar Sales $1,120 1,040 1,200 1,280 1,440 1,360 The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's projected sales. On January 1, 23 bottles of vitamins were in inventory. Required: 1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Master Budget

A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.

Sales Budget and Selling

A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.

Question

Note:- • Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. • Answer completely. • You will get up vote for sure.

1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.
Unit sales
Desired EI
Tiger Drug Store
Merchandise Purchases Budget
January February March April
Total needed
Less: BI
Unit purchases
May
2. If vitamins are priced at cost plus 60 percent, what is the dollar cost of purchases for each month of your purchases budget?
January
February
March
April
May
00000

Purchases Budget
Tiger Drug Store carries a variety of health and beauty aids, including 500-count bottles of vitamins. The sales budget for vitamins for the first six months of the year is presented
below.
Unit Sales
140
130
150
160
180
170
Dollar Sales
January
February
March
April
May
June
The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's projected sales. On January 1, 23 bottles vitamins were in
inventory.
Required:
$1,120
1,040
1,200
1,280
1,440
1,360
1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.

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