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Keggler's Supply is a merchandiser of three different products. Beginning inventories for March are footwear, 19.500 units; sports gear, 81,000 units; and apparel, 49.000 units.

Keggler's Supply is a merchandiser of three different products. Beginning inventories for March are footwear, 19.500 units; sports gear, 81,000 units; and apparel, 49.000 units. Management believes each of these inventories is too high and begins a new policy that ending inventory in any month should equal 31% of the budgeted sales units for the following month. Budgeted sales units for March. April, May, and June follow Budgeted Sales in Units March April May June Footwear Sports gear Apparel 14,500 70,000 40,500 25,500 31,000 34,000 89,000 94,500 91,000 38,500 33,500 22,000 Required: 1. Prepare a merchandise purchases budget (in units only) for each product for each of the months of March, April, and May. FOOTWEAR Add: Desired ending inventory Next period budgeted sales units KEGGLER'S SUPPLY Merchandise Purchases Budget March April May Ratio of ending inventory to future sales Total required units Units to purchase SPORTS GEAR Add: Desired ending inventory Neod penod budgeted sales units Ratio of ending inventory to future sales Total required units Units to purchase APPAREL Add Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales Total required units Units to purchase

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