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 April 25,000 March 15,000 May 32,000 35,000 June 70,000 90,000 95,000 90,000 40,000 33,000 37,000 25,000 Footwear Sports gear Apparel Required: 1. Prepare a merchandise purchases budget (in units only) for each product for each of the months of March, April, and May. FOOTWEAR Budgeted sales units Add Desired ending inventory KEGGLER'S SUPPLY Merchandise Purchases Budget March April Next period budgeted sales units Ratio of ending inventory to future sales Desired ending inventory Total required units Less Beginning inventory units Units to purchase SPORTS GEAR Budgeted sales units Add Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales Desired ending inventory Total required units Lest Beginning inventory units Units to purchase APPAREL Budgeted sales units 25,000 30% 32,000 May 35,000 O 25,000 32,000 35,000 90,000 95,000 90,000 FOOTWEAR Budgeted sales units KEGGLER'S SUPPLY Merchandise Purchases Budget March May April 25,000 32,000 35,000 Add: Desired ending inventory Next period budgeted sales units: Ratio of ending inventory to future sales 30% Desired ending inventory 0 Total required units 25,000 32,000 35,000 Less: Beginning inventory units Units to purchase SPORTS GEAR Budgeted sales units Add: Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales Desired ending inventory Total required units Less: Beginning inventory units Units to purchase APPAREL Budgeted sales units Add: Desired ending inventory Next period budgeted sales units Ratio of ending inventory to future sales Desired ending inventory Total required units Less: Beginning inventory units Units to purchase 90,000 95,000 90,000