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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

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 140 $1,260
February 130 1,170
March 150 1,350
April 160 1,440
May 180 1,620
June 170 1,530

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, 21 bottles of vitamins were in inventory.

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Question Content Area

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 fill in the blank fill in the blank fill in the blank fill in the blank
Desired EI fill in the blank fill in the blank fill in the blank fill in the blank fill in the blank
Total needed fill in the blank fill in the blank fill in the blank fill in the blank fill in the blank
Less: BI fill in the blank fill in the blank fill in the blank fill in the blank fill in the blank
Unit purchases fill in the blank fill in the blank fill in the blank fill in the blank fill in the blank

Question Content Area

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
February fill in the blank
March fill in the blank
April fill in the blank
May fill in the blank

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