Walker Company prepares monthly budgets. The current budget plans for a September ending merchandise inventory of 30,000 units. Company policy is to end each month with merchandise inventory equal to 15% of budgeted sales for the following month. Budgeted sales and merchandise purchases for the next three months follow. The company budgets sales of 200,000 units in October.

	Sales (Units)			Purchases (Units)
July	170,000				191,000
August	310,000				308,500
September	300,000				285,000

Prepare the merchandise purchases budgets for the months of July, August, and September.

WALKER COMPANY
Merchandise Purchases Budget
For July, August, and September
	July	August	September
Budgeted ending inventory units			30,000
Budgeted units sales for month	170,000	310,000	300,000
Required units of available inventory			330,000
Beginning inventory (units)
Units to be purchased	191,000	308,500	285,000