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A merchandiser, provides the following information for its December budgeting process:

The November 30 inventory was 1,800 units.
Budgeted sales for December are 4,000 units.
Desired December 31 inventory is 2,840 units.

Budgeted purchases are:________

a. 5040 units
b. 6,840 units
c. 4,000 units
d. 5,800 units

Respuesta :

Answer:

a.  5,040 units

Explanation:

The computation of the budgeted purchase is shown below:

As We know that,

= Budgeted Sale units + ending inventory units - beginning inventory units

= 4,000 units + 2,840 units - 1,800 units

= 5,040 units

Therefore we simply added the closing inventory units and subtract  the opening inventory units from the Budgeted Sale units in order to determine the Budgeted purchases units

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