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Ayayai Company estimates that 2017 sales will be $43,200 in quarter 1, $53,300 in quarter 2, and $58,400 in quarter 3. Cost of goods sold

Ayayai Company estimates that 2017 sales will be $43,200 in quarter 1, $53,300 in quarter 2, and $58,400 in quarter 3. Cost of goods sold is 50% of sales. Management desires to have ending finished goods inventory equal to 12% of the next quarters expected cost of goods sold. Prepare a merchandise purchases budget by quarter for the first 6 months of 2017.

AYAYAI COMPANY Merchandise Purchases Budget choose the accounting period For the Quarter Ending June 30, 2017June 30, 2017 For the Six Months Ending June 30, 2017

Quarter

1

2

Six Months

select a budget item Required Merchandise PurchasesDirect Materials Per UnitTotalDesired Ending Merchandise InventoryBeginning Direct MaterialsBudgeted Cost of Goods SoldBeginning Merchandise InventoryDesired Ending Finished Goods InventoryDirect Materials Purchases

$enter a dollar amount

$enter a dollar amount

select between addition and deduction AddLess: select a budget item Beginning Direct MaterialsDirect Materials PurchasesBudgeted Cost of Goods SoldDesired Ending Finished Goods InventoryDirect Materials Per UnitTotalRequired Merchandise PurchasesDesired Ending Merchandise InventoryBeginning Merchandise Inventory

enter a dollar amount enter a dollar amount

select a closing subsection name Budgeted Cost of Goods SoldDirect Materials Per UnitDesired Ending Merchandise InventoryRequired Merchandise PurchasesBeginning Direct MaterialsDirect Materials PurchasesBeginning Merchandise InventoryTotalDesired Ending Finished Goods Inventory

enter a subtotal of the two previous amounts

enter a subtotal of the two previous amounts

select between addition and deduction AddLess: select a budget item Desired Ending Merchandise InventoryBeginning Merchandise InventoryBeginning Direct MaterialsTotalBudgeted Cost of Goods SoldRequired Merchandise PurchasesDirect Materials PurchasesDirect Materials Per UnitDesired Ending Finished Goods Inventory

enter a dollar amount enter a dollar amount

select a closing section name Direct Materials PurchasesBeginning Merchandise InventoryBeginning Direct MaterialsDesired Ending Merchandise InventoryDesired Ending Finished Goods InventoryTotalBudgeted Cost of Goods SoldRequired Merchandise PurchasesDirect Materials Per Unit

$enter a total amount

$enter a total amount

$enter a total amount

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