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Question - Projected unit sales for Astor Corp. for the last quarter of 2015 are:
October
10,000
November
15,000
December
20,000
Total
45,000
Finished goods inventory on September 30, 2015 was 3,000 units.
Projected sales for January are 25,000 units.
The sales price is $100 per unit.
The company tries to keep ending finished goods inventory of 10% of the following month's expected sales.
a) Prepare a Sales Budget in units and dollars by month (October, November and December along with the 4th quarter total).
b) Prepare a Purchases Budget in units for each month (October, November and December along with the 4th quarter total).
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