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Raider-X Company budgets sales of 11,000 units for April and 13,000 units for May. Beginning inventory on April 1 is 2,200 units, and the company
Raider-X Company budgets sales of 11,000 units for April and 13,000 units for May. Beginning inventory on April 1 is 2,200 units, and the company wants to have 20% of next month's unit sales in inventory at the end of each month. The merchandise cost per unit is $2. Prepare a merchandise purchases budget for the month of April. Next period budgeted sales units Ratio of inventory to future sales Total required units Units to be purchased Cost per unit Cost of merchandise purchases
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