Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Lexi Company forecasts unit sales of 1,370,000 in April, 1.240,000 in May, 840,000 in June, and 1,350,000 in July, Beginning inventory on April 1 is

image text in transcribed
Lexi Company forecasts unit sales of 1,370,000 in April, 1.240,000 in May, 840,000 in June, and 1,350,000 in July, Beginning inventory on April 1 is 250,000 units, and the company wants to have 30% of next month's sales in inventory at the end of each month. Prepare a merchandise purchases budget for the months of April, May, and June. Answer is not complete. LEXI COMPANY Merchandise Purchases Budget For April, May, and Juno April May Next month's budgeted salos (units) 1,240,000 B40,000 Ratio of inventory to future sales 30% 30% Budgeted ending inventory (units) 372,000 252,000 Budgeted units sales for month 1,612,000 Required units of available inventory 1,084,000 Beginning inventory (units) 1,612 000 Units to be purchased June 1,350,000 30% 405,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Management In The Sport Industry

Authors: Matthew T Brown, Daniel Rascher, Mark S Nagel, Chad McEvoy

2nd Edition

9781621590118

More Books

Students also viewed these Accounting questions

Question

Summarize the economic impact of safety.

Answered: 1 week ago

Question

Summarize the prevalence of unions.

Answered: 1 week ago