Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Purchases Budget Tiger Drug Store carries a variety of health and beauty aids, including 500-count bottles of vitamins. The sales budget for vitamins for the

Purchases Budget

Tiger Drug Store carries a variety of health and beauty aids, including 500-count bottles of vitamins. The sales budget for vitamins for the first six months of the year is presented below.

Unit Sales Dollar Sales
January 180 $1,620
February 170 1,530
March 190 1,710
April 200 1,800
May 220 1,980
June 210 1,890

The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next months projected sales. On January 1, 23 bottles of vitamins were in inventory.

Required:

1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.

Tiger Drug Store
Merchandise Purchases Budget
January February March April May
Unit sales fill in the blank 407f09f9c066fad_1 fill in the blank 407f09f9c066fad_2 fill in the blank 407f09f9c066fad_3 fill in the blank 407f09f9c066fad_4 fill in the blank 407f09f9c066fad_5
Desired EI fill in the blank 407f09f9c066fad_6 fill in the blank 407f09f9c066fad_7 fill in the blank 407f09f9c066fad_8 fill in the blank 407f09f9c066fad_9 fill in the blank 407f09f9c066fad_10
Total needed fill in the blank 407f09f9c066fad_11 fill in the blank 407f09f9c066fad_12 fill in the blank 407f09f9c066fad_13 fill in the blank 407f09f9c066fad_14 fill in the blank 407f09f9c066fad_15
Less: BI fill in the blank 407f09f9c066fad_16 fill in the blank 407f09f9c066fad_17 fill in the blank 407f09f9c066fad_18 fill in the blank 407f09f9c066fad_19 fill in the blank 407f09f9c066fad_20
Unit purchases fill in the blank 407f09f9c066fad_21 fill in the blank 407f09f9c066fad_22 fill in the blank 407f09f9c066fad_23 fill in the blank 407f09f9c066fad_24 fill in the blank 407f09f9c066fad_25

2. If vitamins are priced at cost plus 80 percent, what is the dollar cost of purchases for each month of your purchases budget?

January $fill in the blank ad0cde047031011_1
February fill in the blank ad0cde047031011_2
March fill in the blank ad0cde047031011_3
April fill in the blank ad0cde047031011_4
May fill in the blank ad0cde047031011_5

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_2

Step: 3

blur-text-image_3

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

Cornerstones Of Cost Management

Authors: Don R. Hansen, Maryanne M. Mowen

3rd Edition

9781305147102, 1285751787, 1305147103, 978-1285751788

More Books

Students also viewed these Accounting questions