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Help Walker Company prepares monthly budgets. The current budget plans for a September ending merchandise inventory of 28,500 units. Company policy is to end each

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Help Walker Company prepares monthly budgets. The current budget plans for a September ending merchandise inventory of 28,500 units. Company policy is to end each month with merchandise inventory equal to 15% of budgeted sales for the following month. Budgeted sales and merchandise purchases for the next three months follow. The company budgets sales of 190,000 units in October July August September sales (Units) 200,000 330,000 290,000 Purchases (Units) 219,500 324,000 275,000 Prepare the merchandise purchases budgets for the months of July August, and September. WALKER COMPANY Merchandise Purchases Budget For July, August, and September August September 28,500 Budgeted ending inventory units Required units of available inventory Units to be purchased 219,500 324,000 275,000

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