1. Barrett's Fashions forecasts sales of $255,000 for the quarter ended December 31. Its gross profit rate is18% of sales, and its September 30 inventory is $66,300. If the December 31 inventory is targeted at $84,700, budgeted purchases for the fourth quarter should be: A. 273400 B. 227500 C. 188700 D. 45900 E. 182234

2. A June sales forecast projects that 2,500 units are going to be sold at a price of $11.00 per unit. The desired ending inventory of units is 10% higher than the beginning inventory of 350 units. Total June sales are anticipated to be: A. 27500 B. 25035 C. 26285 D. 30250 E. 25000