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Last year's sale for the department were $800,000. Assume that 5 % increase in sales is anticipated this year compared to last year. Total markdown

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Last year's sale for the department were $800,000. Assume that 5 % increase in sales is anticipated this year compared to last year. Total markdown for the period are planned at 8 %. The markup is planned at 50%. Based on an analysis of past sales records and current market trends, the buyer has also made plans for the period in relation to (1) monthly distribution of sales, (2) monthly stock-to-sales ratios, and (3) monthly distribution of planned markdowns. These three planning estimates for each month are as follows: Markdowns Stock-to-Sales Ratio Month Aug. Sales Distribution 10% 10% 30% 20% Sep. 2.0 Oct. Distribution 10% 10% 20% 20% 20% 20% Nov 20% Dec. Jan. 10% Use EOM of December for EOM of January. GH. 6 MONTH MERCHANDISE PLAN LY Sales % Planned Increase Planned Sales for Season (5) Planned EOM of Jan (5) Planned Markup % Planned Markdowns % Planned Markdowns for Season (5) 11 Sales Distribution (%) 12 Stock Sales Ratio 13 Markdowns Distribution (%) 15 PLANNED MONTHLY SALES (5) 16 PLANNED MONTHLY BOM (3) 17 PLANNED MONTHLY EOM (S) 18 PLANNED MONTHLY MARKDOWNS ($) 19 PLANNED PURCHASES AT RETAIL (5) 20 PLANNED PURCHASES AT COST (3) Use This Information! Last year's sale for the department were $800,000. Assume that 5 % increase in sales is anticipated this year compared to last year. Total markdown for the period are planned at 8 %. The markup is planned at 50 %. Based on an analysis of past sales records and current market trends, the buyer has also made plans for the period in relation to (1) monthly distribution of sales, (2) monthly stock-to-sales ratios, and (3) monthly distribution of planned markdowns. These three planning estimates for each month are as follows: Markdowns Stock-to-Sales Ratio Month Aug. Sep. 2.0 Sales Distribution 10% 10% 30% 20% 20% 10% Oct. Distribution 10% 10% 20% 20% 20% 20% Nov Dec. Month Distribution Stock-to-Sales Ratio Distribution 10% 2.0 Aug. Sep. Oct. 10% 10% 10% 30% 20% Nov 20% 20% 10% 2.0 2.0 20% 20% Dec. Jan. 20% Use EOM of December for EOM of January. 6 MONTH MERCHANDISE PLAN 3 LY Sales 4 % Planned Increase Planned Sales for Season (5) Planned EOM of Jan (5) Planned Markup % Planned Markdowns % Planned Markdowns for Season ($) Sales Distribution (5) Stock-Sales Ratio Markdowns Distribution (%) PLANNED MONTHLY SALES (5) PLANNED MONTHLY BOM (5) PLANNED MONTHLY EOM (5) PLANNED MONTHLY MARKDOWNS (8) PLANNED PURCHASES AT RETAIL (5) PLANNED PURCHASES AT COST

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