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. anuary February March April -May lune Unit Sales 140 130 150 160 180 170 Dollar Sales $1,120 1,040 1,200 1,280 1,440 1,360 The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's 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.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.
Unit sales
Desired EI
Tiger Drug Store
Merchandise Purchases Budget
January February March April
Total needed
Less: BI
Unit purchases
May
2. If vitamins are priced at cost plus 60 percent, what is the dollar cost of purchases for each month of your purchases budget?
January
February
March
April
May
00000
Transcribed Image Text:1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can. Unit sales Desired EI Tiger Drug Store Merchandise Purchases Budget January February March April Total needed Less: BI Unit purchases May 2. If vitamins are priced at cost plus 60 percent, what is the dollar cost of purchases for each month of your purchases budget? January February March April May 00000
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
140
130
150
160
180
170
Dollar Sales
January
February
March
April
May
June
The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's projected sales. On January 1, 23 bottles vitamins were in
inventory.
Required:
$1,120
1,040
1,200
1,280
1,440
1,360
1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.
Transcribed Image Text: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 140 130 150 160 180 170 Dollar Sales January February March April May June The owner of Tiger Drug believes that ending inventories should be sufficient to cover 10 percent of the next month's projected sales. On January 1, 23 bottles vitamins were in inventory. Required: $1,120 1,040 1,200 1,280 1,440 1,360 1. Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can.
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