Kegglers Supply is a merchandiser of three different products. The companys February 28 inventories are footwear, 19,500 units; sports equipment, 81,500 units; and apparel, 49,000 units. Management believes each of these inventories is too high. As a result, a new policy dictates that ending inventory in any month should equal 31% of the expected unit sales for the following month. Expected sales in units for March, April, May, and June follow.

	Budgeted Sales in Units
	March	April	May	June
Footwear	14,500	24,000	30,500	34,000
Sports equipment	71,000	88,500	95,000	89,000
Apparel	41,000	38,000	32,500	23,000

Required: 1. Prepare a merchandise purchases budget (in units) for each product for each of the months of March, April, and May.

For March, April, and May March April May FOOTWEAR Budgeted sales for next month Ratio of ending inventory to future sales Required units of available merchandise Budgeted purchases SPORTS EQUIPMENT Budgeted sales for next month Ratio of ending inventory to future sales Required units of available merchandise Budgeted purchases APPAREL Budgeted sales for next month Ratio of ending inventory to future sales