Keggler's Supply is a merchandiser of three different products. The company's February 28 inventories are footwear,18.000 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 32% 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 15,500 25,500 31,000 35,000

Sports equipment 69,000 90,500 95,500 90,500

Apparel 41,000 38,500 32,500 24,000 Required:

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

KEGGLER'S SUPPLY Merchandise Purchases Budget For March, April, and May March April May.

' KEGGLER'S SUPPLY
Merchandise Purchases Budget
For March, April, and May
	March	April	May
FOOTWEAR
Budgeted sales for next month		.	.
Ratio of ending inventory to future sales

Budgeted sales for next month Ratio of ending inventory to future sales Required units of available merchandise Budgeted purchases SPAREL Budgeted sales for next month Ratio of ending inventory to future sales Required units of available merchandise Budgeted purchases