The ManU Hotel is located close to Manchester United's football stadium. It has a souvenir shop that sells two main product lines: hats and scarves in the Manchester United colours. The quarterly sales budget for the forthcoming year is as follows QUARTER HATS SCARVES 1,200 600 800 400 3 4 600 300 1,400 700 It is expected that the shop will be holding 240 hats and 180 scarves in stock at the beginning of the year. The shop manger always likes to keep 20 per cent of the next quarter's hat sales in stock and 30 per cent of the next quarter's scarf sales. Sales of hats and scarves in the first quarter of the following year are expected to be 25 per cent higher than the first quarter of the forthcoming year. Required: Prepare the quarterly purchases budget for hats and scarves for the forthcoming year.

The ManU Hotel is located close to Manchester United's football stadium. It has a souvenir shop that sells two main product lines: hats and scarves in the Manchester United colours. The quarterly sales budget for the forthcoming year is as follows QUARTER HATS SCARVES 1,200 600 800 400 3 4 600 300 1,400 700 It is expected that the shop will be holding 240 hats and 180 scarves in stock at the beginning of the year. The shop manger always likes to keep 20 per cent of the next quarter's hat sales in stock and 30 per cent of the next quarter's scarf sales. Sales of hats and scarves in the first quarter of the following year are expected to be 25 per cent higher than the first quarter of the forthcoming year. Required: Prepare the quarterly purchases budget for hats and scarves for the forthcoming year.

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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