Keggler's Supply is a merchandiser of three different products. Beginning inventories for March are footwear, 20,000 units; sports gear, 80,000 units; and apparel, 50,000 units. Management believes each of these inventories is too high and begins a new policy that ending inventory in any month should equal 30% of the budgeted sales units for the following month. Budgeted sales units for March, April, May, and June follow. Budgeted Sales in Units March Footwear Sports gear Apparel 15,000 April 25,000 May June 32,000 35,000 70,000 40,000 90,000 95.000 90,000 38,000 37,000 25,000 Required: 1. Prepare a merchandise purchases budget (in units only) for each product for each of the months of March, April, and May, Required: 1. Prepare a merchandise purchases budget (in units only) for each product for each of the months of March, April, and KEGGLER'S SUPPLY Merchandise Purchases Budget FOOTWEAR Budgeted sales units March 15,000 April 25,000 May 32,000 Add: Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales 30% Desired ending inventory 7,500 0 Total required units 22,500 25,000 32,000 Less: Beginning inventory units 20,000 7,500 9,600 Units to purchase 2,500 27,100 32,900 SPORTS GEAR 70,000 90,000. 95,000 Budgeted sales units Add: Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales 30% Desired ending inventory 27,000 Total required units 97,000 Less: Beginning inventory units 80,000 27,000 28,500 Units to purchase APPAREL Budgeted sales units 17,000 91,500 93,500 40,000 38,000 37,000 Add: Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales 30% Desired ending inventory 11,400 Total required units 51,400 Less: Beginning inventory units 50,000 11,400 11,100 Units to purchase 1,400 37,700 33,400