Walker Company prepares monthly budgets. The current budget plans for a September ending merchandise inventory of 28,500 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 190,000 units in October.

	Sales (Units)			Purchases (Units)
July	180,000				201,000
August	320,000				318,500
September	310,000				292,000

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			28,500
Required units of available inventory
Units to be purchased	201,000	318,500	292,000