Solution-Prepare a merchandise purchases budget

Prepare a merchandise purchases budget

Assignment Help Cost Accounting

Reference no: EM13906554

Keggler's Supply is a merchandiser of three different products. The company's February 28 inventories are footwear, 20,000 units; sports equipment, 80,000 units; and apparel, 50,000 units. Management believes that excessive inventories have accumulated for all three products. As a result, a new policy dictates that ending inventory in any month should equal 30% of the expected unit sales for the following month. Expected sales in units for March, April, May, and June follow.

2491_267-B-C-A-B (749).png

Required:

1. Prepare a merchandise purchases budget (in units) for each product for each of the months of March, April, and May. Analysis Component:
2. The purchases budgets in part 1 should reflect fewer purchases of all three products in March com pared to those in April and May. What factor caused fewer purchases to be planned? Suggest business conditions that would cause this factor to both occur and impact the company in thisway.

Reference no: EM13906554

Questions Cloud

Is the estate required to file an income tax return : Jamarcus, a full-time student, earned $2,500 this year from a summer job. The estate of Monique Chablis earned $450 of income this year. Is the estate required to file an income tax return?

A turbine disk made from a ni-base superalloy : A turbine disk made from a Ni-base superalloy will be operating at 1350F. The creep data are given below. Determine the maximum stress allowable if the design criterion requires less than 1% strain in 10,000 hours.

Describe the meaning of the interval you found : A recent poll of 2350 U.S. voters found that 1034 of them currently approve of Obama's performance as president. Make a 99% confidence interval for the proportion of all U.S. voters that approve of Obama's performance. Describe the meaning of th..

What ramifications if ahmed does not pay his tax liability : Ahmed does not have enough cash on hand to pay his taxes. He was excited to hear that he can request an extension to file his tax return. What are the ramifications if he doesn't pay his tax liability by April 15?

Prepare a merchandise purchases budget : Keggler's Supply is a merchandiser of three different products. The company's February 28 inventories are footwear, 20,000 units; sports equipment, 80,000 units; and apparel, 50,000 units.

Determine the stress at point a : Knowing that the couple shown acts in a vertical plane, determine the stress at (a)point A. (b) point B.

A decorative water spout is shown in the schematic : A decorative water spout is shown in the schematic .It delivers water from a 3-in. nozzle inclined at 30 deg from horizontal at an average velocity of 2 ft/s.This angled spout is to a supply by 6 bolts as shown.

Calculate the modulus of rupture : If a break load of 250 lbs. is applied to the first wood specimen, how do I determine the Moment of Inertia and calculate the Modulus of Rupture?

Flame thickness : Jet fuel and air with stoich mix on a 10000 altitude with pressure of 20000 Pa and temp -50 Celsius and laminar flame Calculate: flame thickness

User Account

All Pages

Prepare a merchandise purchases budget

Reference no: EM13906554

Reference no: EM13906554

Questions Cloud

Reviews

Write a Review

Cost Accounting Questions & Answers

Cost accounting assignment

Prepare the journal entries

Advise as to the liability of all the parties

Prepare revenues budget

Effect of exchange rate changes on cash and cash

Corporate governance

Cost-benefit analysis

Non-annual interest rates and annuities

Job costing in service organizations

Accounting for bad debt expense

Accounting and partnership problems

Development of relevant cash flows

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT